Steady steps to increase brand recognition: Gold price volatility’s impact largely priced in; we see attractive risk-reward; reiterate Buy

研报英文原文证据摘录

Steady steps to increase brand recognition: Gold price volatility’s impact largely priced in; we see attractive risk-reward; reiterate Buy

Global Markets Research

Laopu Gold 6181.HK 6181 HK 19 June 2026

EQUITY: GENERAL CONSUMER

RatingSteady steps to increase brand recognition Remains Buy

Target priceGold price volatility’s impact largely priced in; we see Remains HKD 1,114.00

attractive risk-reward; reiterate Buy

Closing price

18 June 2026 HKD 458.40Laopu’s weak share price performance largely due to higher gold price volatility

Laopu share price has declined by 24% year-to-date, underperforming the Hang Seng Implied upside +143.0%Index by 17.4pp and also weaker than select Chinese gold jewelry players (such as Chow

Tai Fook [ 1929 HK, Not rated]). The significant underperformance has been driven by Market Cap (USD mn) 10,338.1

increased volatility of gold prices since March 2026 (Fig.1, a departure from the strong ADT (USD mn) 89.3

rally of gold prices from mid-2023 to 2025), as well as the capital market’s preference for

technology/AI themes over consumer names, in our view. With the company now only

trading at 9.9x FY26F P/E, we believe the downside risk resulting from volatile gold prices Relative performance chart

(which may lead to Laopu’s sales deceleration) has been largely priced in. Should gold

prices stabilize in the next few months with a peace deal in the Middle East and

consequently a more favourable geopolitical environment, the capital market may get less

pessimistic about Laopu’s sales in 2H26F, in our view.

Laopu has taken steady steps to improve brand

Laopu has kept its growth strategy (see ourreport) in 2Q26, namely new product

introductions, boutique upgrades and VIC segment expansion, despite gold price volatility.