Morgan Stanley Lifts Vipshop Holdings Ltd (VIPS) Price Maintains 'Equalweight' Rating

Vipshop Holdings Limited (NYSE:VIPS) is one of the best mid-cap value stocks to buy right now. On August 18, analysts at Morgan Stanley raised the stock’s price target to $16 from $15 while reiterating an ‘Equalweight’ rating.

The price target hike comes on the company issuing guidance that indicates third-quarter revenue is expected to increase by between 0% and 5%, which should lead to a net profit margin of between 6.5% and 7%. In addition, the research firm remains buoyed by Vipshop signaling user growth, with new user acquisition returning to a positive trajectory.

For the full year, Morgan Stanley expects the company to post a 1% decline in revenue with non-GAAP net profit of about 9 billion yuan. The investment bank also expects top-line growth and disciplined cost control measures, which should lead to a 3% increase in net profit in 2025 and a 5% increase in 2026.

Vipshop Holdings Limited (NYSE:VIPS) is a leading Chinese online discount retailer that specializes in selling a wide range of products, including fashion, home goods, beauty, and lifestyle items, through a flash sales model. It partners with brands to offer their inventory at discounted prices for limited periods on its online platforms and physical retail locations.

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Disclosure: None. This article is originally published at Insider Monkey.