Goldman Sachs Sticks to 'Buy' Rating on Anta Sports Amid China Market Gains

Goldman Sachs remains bullish on China's sports market over the medium to long term, expecting mid-to-high single-digit year-on-year growth. The firm maintains a 'Buy' rating on Anta Sports (02020) with a target price of HK$108.

The company notes that Anta's management has observed a K-shaped divergence in the consumer market, where high-end segment sales are performing better while mass-market consumers have become more cautious and selective.

Goldman Sachs believes that Nike's control over pricing and its long-term focus on the premium segment will be beneficial to the industry's health. The firm also expects Anta's management to hold off on further M&A activity for the time being.