ZTO Express price target lowered to $25 from $30 at JPMorgan

JPMorgan analyst Karen Li lowered the firm’s price target on ZTO Express (ZTO) to $25 from $30 and keeps an Overweight rating on the shares. The firm says ZTO has underperformed the broader indices since November due to concerns over potential earnings and guidance misses. Despite these concerns, ZTO’s Q3 results met expectations, countering fears of a miss, and the company has maintained its full-year profit target, even as it revised its volume growth guidance downward, the analyst tells investors in a research note. JPMorgan believes the “negative sentiment” is overdone, and says the stock is poised for better performance given an attractive valuation and more realistic earnings expectations.