Shanxi Xinghuacun Fen Wine Factory, CNE000000DH5

Citic Securities lowers forecasts for Shanxi Xinghuacun Fen Wine Factory stock

Published on 10/12/2026 at 09:06 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

First-half net profit fell 24.29 percent to CNY 6.44 billion. A 5.67 percent yield was cited for Shanxi Xinghuacun Fen Wine Factory stock on October 5, 2026.

Key points in brief

Citic Securities lowered its earnings forecast for Shanxi Xinghuacun Fen Wine Factory on September 26, 2026.
First-half revenue fell 12.18 percent to CNY 21.04 billion, while net profit declined 24.29 percent.
The company reported CNY 141.9 billion in market capitalization on October 12, 2026.
Oriental Securities maintained a Buy rating and a CNY 149.53 target on September 23, 2026.

Shanxi Xinghuacun Fen Wine Factory, CNE000000DH5, Illustration mit AI erstellt.

Shanxi Xinghuacun Fen Wine Factory (CNE000000DH5) saw Citic Securities lower its earnings forecast on September 26, 2026, as first-half revenue fell 12.18 percent to CNY 21.04 billion. According to Citic Securities, the company retained a Buy rating while the forecast reset reflected weaker near-term revenue and profit trends.

First-half profit fell 24.29 percent

The semi-annual figures put the pressure in concrete terms. Net profit attributable to shareholders fell 24.29 percent to CNY 6.44 billion in the first half of 2026, while second-quarter revenue declined 17.74 percent to CNY 6.12 billion, according to Citic Securities.

The report also showed a countertrend in cash generation. Operating cash flow increased 11.23 percent year over year to CNY 6.65 billion in the first half of 2026, while gross margin stood at 75.40 percent, according to Phoenix Finance.

What does the forecast cut change?

Citic Securities projected 2026 revenue of CNY 33.5 billion, down 14 percent year over year, followed by CNY 35.4 billion in 2027 and CNY 37.8 billion in 2028, according to its September 26 review. The same assessment projected net profit attributable to shareholders at CNY 9.6 billion in 2026, CNY 10.6 billion in 2027 and CNY 11.7 billion in 2028.

The operating response centers on inventory control and channel pricing. Citic Securities said the company was prioritizing destocking and channel stability, while high-end Qinghua products showed resilience and out-of-province markets contributed more than 65 percent of revenue in the first half of 2026.

Three dated signals for the stock

The chronology began with the semi-annual report dated August 30, 2026, which recorded CNY 21.04 billion in first-half revenue, according to 6ix. On September 23, 2026, Oriental Securities maintained a Buy rating and a CNY 149.53 target, according to Oriental Securities. Citic Securities then lowered its earnings forecast on September 26, 2026, with 2026 revenue projected at CNY 33.5 billion.

Market value reaches CNY 141.9 billion

Shanxi Xinghuacun Fen Wine Factory had a market capitalization of CNY 141.9 billion as of October 12, 2026. A separate valuation screen dated October 5, 2026, listed a 5.67 percent dividend yield and a price-to-earnings ratio of 13.90, giving the stock a valuation context alongside the earnings reset.