CLSA released a research report stating that LI NING (02331) has provided a sales growth guidance of high single-digit percentage growth year-on-year for this year, which is higher than expected. This drove the company's stock price up last Friday (20th). The firm has raised its sales forecast for the group for 2026 to 2027 by 7% to 8%, while its net profit forecast is increased by 7% to 11%. Consequently, the target price has been raised from HK$18 to HK$24, and the rating has been upgraded from "Hold" to "Outperform." The report suggests that the net profit margin guidance for this year is not surprising, given that the net profit margin reached 8.1% in the second half of last year. The primary factors influencing this year's margin are expenses related to the sponsorship of the Chinese Olympic Committee, the opening of more stores, and increased operational expenditure investments.