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ANTA Sports Products Ltd. (HK:2020)
:2020

ANTA Sports Products (2020) AI Stock Analysis

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HK

ANTA Sports Products

(OTC:2020)

Rating:81Outperform
Price Target:
HK$110.00
â–²(14.17%Upside)
ANTA Sports Products earns a strong overall stock score driven by robust financial performance and positive technical indicators. The company's high profitability and solid balance sheet underpin its financial health, while the stock's technical position supports further price appreciation. The valuation is fair, adding to the stock's appeal. The absence of earnings call insights or corporate events does not detract from the overall positive assessment.
Positive Factors
Expansion and Growth
Steady growth outlook is driven by new initiatives and expansion into new markets like the Middle East.
Financial Performance
Anta Sports marked a strong finish with all major brands posting turnover growth, reversing previous softness.
Negative Factors
Consumer Confidence
Key risks include weaker than expected consumer confidence.
Macroeconomic Risks
Key risks include the deterioration in the macroeconomic environment and inflation.

ANTA Sports Products (2020) vs. iShares MSCI Hong Kong ETF (EWH)

ANTA Sports Products Business Overview & Revenue Model

Company DescriptionANTA Sports Products Limited, established in 1991, is one of the leading sportswear companies in China. Headquartered in Jinjiang, Fujian, the company designs, develops, manufactures, and markets sportswear, including footwear, apparel, and accessories. ANTA operates in multiple segments including performance sports, lifestyle sports, and outdoor sports, catering to a wide range of consumers from professional athletes to everyday fitness enthusiasts.
How the Company Makes MoneyANTA Sports generates revenue primarily through the sale of its sportswear products, which include footwear, apparel, and accessories. The company operates a multi-brand strategy, owning and managing several brands such as ANTA, FILA, DESCENTE, and Kingkow, among others. This strategy allows the company to target different consumer segments and expand its market reach. ANTA also benefits from its extensive retail network, which includes both direct-operated stores and franchised stores, providing widespread distribution and accessibility to its products. Additionally, the company engages in strategic partnerships and endorsements with sports teams and athletes to enhance brand visibility and drive sales. E-commerce also plays a significant role in its revenue generation, with online platforms contributing to its sales growth.

ANTA Sports Products Earnings Call Summary

Earnings Call Date:Mar 19, 2025
(Q4-2023)
|
% Change Since: -4.24%|
Next Earnings Date:Sep 02, 2025
Earnings Call Sentiment Positive
ANTA Sports achieved record-breaking revenues and significant growth in operating efficiency and cash flow, demonstrating strong overall performance. However, challenges such as low consumer confidence and market share shifts were noted.
Q4-2023 Updates
Positive Updates
Record-Breaking Revenue and Growth
In 2023, ANTA Sports achieved the best results in its history with a revenue of CNY 62.3 billion, up 16% year-on-year. ANTA brand revenue exceeded CNY 30 billion for the first time, up 9%, while FILA's revenue was CNY 25.1 billion, up 16.6%, and other brands saw a 57.7% increase to CNY 6.9 billion.
Improved Operating Profit Margins
The operating profit margin for the group increased by 3.7 percentage points to 24.6% year-on-year, attributed to improvements in shop and area efficiency as well as merchandise inventory management.
Strong Cash Flow and Dividend Payout
Operating cash flow was CNY 19.6 billion, up 60% year-on-year. The company maintained a dividend payout ratio of 50.7%.
Amer Sports Performance
Amer Sports revenue in RMB terms reached CNY 31 billion, up 30% year-on-year, with EBITDA up 45%. Amer Sports' listing on the New York Stock Exchange will yield a one-off noncash gain of CNY 1.6 billion for ANTA.
Healthy Inventory and Working Capital Management
Inventory turnover days decreased by 15 days year-on-year, indicating efficient inventory management. The total inventory decreased while revenue increased by 16%.
ESG Achievements
ANTA reduced overall greenhouse gas emission intensity by 36% and water resource consumption density by 9%. The company improved its ESG ratings with MSCI rising to BBB.
Negative Updates
Consumer Confidence Challenges
Consumer confidence remained low, especially in the second half of the year, with the confidence index dropping to 87.6%.
K-Shaped Recovery in Consumer Market
Luxury and high-cost-effective brands experienced good growth, but middle-market brands faced difficulties.
Decline in Industry Concentration
The market share of the top 5 sports brands decreased from 60% in 2021 to 55% in 2023, indicating a decrease in industry concentration.
Company Guidance
During the Q4 2023 earnings call for ANTA Sports Products Limited, the company reported robust financial performance with a revenue of CNY 62.3 billion, marking a 16% year-on-year increase. The ANTA brand achieved a revenue exceeding CNY 30 billion for the first time, up by 9%, while FILA's revenue rose by 16.6% to CNY 25.1 billion. The other brands saw a significant revenue increase of 57.7%, reaching CNY 6.9 billion. Operating profit margin improved by 3.7 percentage points to 24.6%, with ANTA at 22% and FILA at 27.6%. Profit attributable to shareholders, excluding Amer Sports, rose by 44.9% to CNY 10.9 billion. The company also reported a strong operating cash flow of CNY 19.6 billion, a 60% year-on-year increase. Inventory turnover days reduced by 15 days to 123 days, reflecting improved inventory management. ANTA highlighted its strategic focus on single-focus, multi-brand, and globalization strategies to sustain high-quality growth, with plans to continue expanding in international markets.

ANTA Sports Products Financial Statement Overview

Summary
Income Statement
Balance Sheet
Cash Flow
Breakdown
TTMDec 2023Dec 2022Dec 2021Dec 2020Dec 2019
Income StatementTotal Revenue
66.45B62.36B53.65B49.33B35.51B33.93B
Gross Profit
41.89B39.03B32.32B30.40B20.65B18.66B
EBIT
16.40B15.37B11.23B10.99B9.15B8.69B
EBITDA
17.39B21.15B16.33B14.95B10.57B9.76B
Net Income Common Stockholders
13.21B10.24B7.59B7.72B5.16B5.34B
Balance SheetCash, Cash Equivalents and Short-Term Investments
4.29B38.64B28.30B25.34B20.62B12.60B
Total Assets
7.05B92.23B69.19B62.67B51.87B41.22B
Total Debt
0.0021.47B19.50B18.32B16.94B9.87B
Net Debt
-3.39B6.24B2.12B726.00M1.62B1.65B
Total Liabilities
1.32B36.22B31.36B31.00B26.04B20.16B
Stockholders Equity
5.68B51.46B34.40B28.92B24.01B20.08B
Cash FlowFree Cash Flow
16.58B18.31B10.41B10.37B6.61B6.40B
Operating Cash Flow
17.97B19.63B12.15B11.86B7.46B7.48B
Investing Cash Flow
-25.77B-25.79B-4.77B-4.67B-1.92B-13.07B
Financing Cash Flow
-9.24B3.47B-7.84B-4.95B1.23B4.67B

ANTA Sports Products Technical Analysis

Technical Analysis Sentiment
Positive
Last Price96.35
Price Trends
50DMA
89.59
Positive
100DMA
87.42
Positive
200DMA
83.26
Positive
Market Momentum
MACD
1.56
Negative
RSI
57.18
Neutral
STOCH
43.02
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2020, the sentiment is Positive. The current price of 96.35 is above the 20-day moving average (MA) of 93.89, above the 50-day MA of 89.59, and above the 200-day MA of 83.26, indicating a bullish trend. The MACD of 1.56 indicates Negative momentum. The RSI at 57.18 is Neutral, neither overbought nor oversold. The STOCH value of 43.02 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:2020.

ANTA Sports Products Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
81
Outperform
$261.79B15.6028.11%2.60%11.51%47.88%
75
Outperform
HK$39.36B12.0611.92%4.04%1.85%-6.19%
62
Neutral
$6.94B11.292.95%3.87%2.70%-24.49%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:2020
ANTA Sports Products
96.35
11.54
13.61%
HK:2331
Li Ning Company
15.30
-4.72
-23.60%

ANTA Sports Products Corporate Events

ANTA Sports Grants 10.45 Million Shares to Employees
Jun 4, 2025

ANTA Sports Products Limited announced the grant of approximately 10.45 million awarded shares to 342 selected employees under its 2018 Share Award Scheme (2023 Revision). This initiative, which includes executive directors, aims to incentivize employees without diluting existing shareholders’ stakes, as the shares will be satisfied by existing shares acquired by the Trustee.

The most recent analyst rating on (HK:2020) stock is a Buy with a HK$116.00 price target. To see the full list of analyst forecasts on ANTA Sports Products stock, see the HK:2020 Stock Forecast page.

ANTA Sports Announces Changes in Sustainability Committee
Jun 2, 2025

ANTA Sports Products Limited announced a change in the composition of its Sustainability Committee, effective from June 15, 2025. Mr. Yiu Wai Hung will step down, and Ms. Jiang Yan, the current CEO of the Fashion Sports Group, will join the committee, reflecting a shift in management appointments within the company.

The most recent analyst rating on (HK:2020) stock is a Buy with a HK$116.00 price target. To see the full list of analyst forecasts on ANTA Sports Products stock, see the HK:2020 Stock Forecast page.

ANTA Sports Completes Acquisition of Jack Wolfskin
Jun 2, 2025

ANTA Sports Products Limited has completed its acquisition of the Jack Wolfskin business, making it an indirect wholly-owned subsidiary of the group. This strategic move is expected to enhance ANTA’s market positioning by expanding its portfolio with the well-regarded Jack Wolfskin brand, potentially benefiting stakeholders through increased market reach and product offerings.

The most recent analyst rating on (HK:2020) stock is a Buy with a HK$116.00 price target. To see the full list of analyst forecasts on ANTA Sports Products stock, see the HK:2020 Stock Forecast page.

ANTA Sports Approves Key Resolutions at Annual General Meeting
May 7, 2025

ANTA Sports Products Limited announced the successful passage of all resolutions at its Annual General Meeting held on May 7, 2025. Key decisions included the approval of financial statements, declaration of a final dividend, re-election of directors, and granting of mandates for share issuance and repurchase. These outcomes reflect strong shareholder support and strategic alignment, potentially enhancing the company’s operational flexibility and market positioning.

ANTA Sports Adjusts Bond Conversion Price Following Dividend Approval
May 7, 2025

ANTA Sports Products Limited announced an adjustment to the conversion price of its EUR1,500,000,000 zero coupon guaranteed convertible bonds due 2029, following the approval of a dividend by shareholders. The conversion price will be adjusted from HKD104.02 to HKD102.62, effective from 14 May 2025, due to the dividend distribution. This adjustment will allow the bonds to be convertible into approximately 4.07% of the company’s enlarged share capital, assuming full conversion. The adjustment is expected to impact the company’s financial operations by potentially increasing the number of shares in circulation, which may affect shareholder value and market perception.

ANTA Sports Reports Strong Retail Sales Growth in Q1 2025
Apr 10, 2025

ANTA Sports Products Limited reported a high-single digit growth in retail sales for both its ANTA and FILA brands in the first quarter of 2025 compared to the same period in 2024. Meanwhile, other brands under the company experienced a significant 65-70% increase in retail sales. These figures, while indicative of positive operational performance, do not fully represent the company’s total revenue or financial status, and stakeholders are advised to interpret the data with caution.

ANTA Sports Acquires Jack Wolfskin to Boost Outdoor Segment
Apr 10, 2025

ANTA Sports Products Limited announced its acquisition of Jack Wolfskin, a leading outdoor apparel and equipment brand, from Topgolf Callaway Brands Corp. for USD290 million. This acquisition is expected to enhance ANTA’s outdoor sports segment by leveraging Jack Wolfskin’s expertise and technologies, and aligns with ANTA’s strategy to expand its global presence, particularly in Europe.

ANTA Sports Announces Annual General Meeting and Key Resolutions
Mar 31, 2025

ANTA Sports Products Limited has announced its annual general meeting scheduled for May 7, 2025, where key resolutions will be discussed. These include the approval of financial statements, declaration of a final dividend, re-election of directors, and authorization for the board to manage remuneration and share issuance, which could impact the company’s strategic operations and shareholder value.

ANTA Sports Declares Final Dividend for 2024
Mar 19, 2025

ANTA Sports Products Limited has announced a final cash dividend of HKD 1.18 per share for the financial year ending December 31, 2024. This announcement reflects the company’s strong financial performance and commitment to returning value to its shareholders, potentially enhancing its attractiveness to investors.

ANTA Sports Reports Strong 2024 Financial Results with Revenue Growth
Mar 19, 2025

ANTA Sports Products Limited announced its 2024 annual results, showcasing steady business development with a 13.6% increase in revenue to RMB70,826 million. Despite a decrease in overall operating profit margin due to increased investments in branding and R&D, the company reported a 16.5% rise in profit attributable to equity shareholders, excluding non-cash accounting gains. The company also maintained strong cash flow, with a net cash inflow from operating activities of RMB16,741 million. A final dividend of HK118 cents per share has been recommended, pending shareholder approval.

Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.