CICC: Dangdang's Self-Brand Debuts

In a research report published today by CICC, E Commerce China Dangdang (NYSE: DANG) has introduced self-branded products.

According to CICC, “We raise our 2012 revenue growth forecast from 65.3% to 68.9% at Rmb6.1bn, mainly driven by the strong GM growth momentum from its product mix expansion strategy. In addition, DD's marketplace (mall.dangdang) has seen noticeable revenue growth from its partnerships with Gome, Letao, Moonbasa, etc. We reiterate a BUY rating for DD and raise TP to US$12, implying 1.0x 2012e P/S.”

CICC maintains its Buy rating and $12 PT on Dangdang, which closed yesterday at $10.70.