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Research Alert: CFRA Maintains Hold Opinion On Adss Of Vipshop Holdings Limited
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Research Alert: CFRA Maintains Hold Opinion On Adss Of Vipshop Holdings Limited
Nov 20, 2025 12:23 PM

12:30 PM EST, 11/20/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We raise our 12-month target to USD22 from USD20, based on a 2026 PE of 8.5x, a justified discount to its five-year forward mean of 8.8x, expecting gradual improvement from government stimulus measures and VIPS' focus on expanding Super VIP membership to drive higher ARPU and profitability. We raise our adjusted EPADS estimates to CNY17.50 from CNY15.17 for 2025 and to CNY18.40 from CNY16.20 for 2026. VIPS reported better-than-expected Q3 2025 results, with adjusted EPADS of CNY2.98 vs. CNY2.47 (+21%), ahead of the CNY2.91 consensus. Net revenues increased 3.4% to CNY21.37B (CNY300M ahead of consensus). Overall, we thought this was a solid release, with a comfortable earnings beat and stronger-than-expected Q4 guidance. The company's free cash flow improvement was particularly notable, which we think could result in increased cash returns to shareholders, noting management's comment that it was confidently on track to deliver on its shareholder return commitment. However, we maintain a Hold on valuation.

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