J&T Express：Largest express delivery operator in SEA to expand globally
With a solid track record in Southeast Asia’s express delivery sector, we believe J&T Global Express (“J&T Global”) is set to replicate its success story in Latin America and the Middle East market. Meanwhile, we expect J&T Global to narrow the loss significantly in China market, which will serve as a risk reduction driver. We forecast J&T Global to achieve net profit in 2024E. We initiate coverage on J&T Global with a HOLD rating and SOTP-based TP of HK$14.2. We believe the high valuation premium over peers has largely reflected J&T Global’s promising outlook in overseas markets.