We give the only stock "buy" initial rating

BofA Merrill Lynch today released its investment report, giving the nyse:vips stock a "buy" rating to set its target price at $116 trillion.

The following is a summary of the contents of the report:

We give the only stocks "buy" initial rating, I believe that only the long-term profitability of the product will be strong: 1 inventory to help improve profitability; 2 personalized operation mode; 3 optimize brand combination, launch market platform business. We expect that in fiscal year 2013 to 2016, the composite growth rate will reach 44% and the operating profit margin will double to 5.6%. Our estimates of earnings per share in 2014 and 2015 were 4% and 6% higher than Wall Street forecasts.

Bargaining Advantage: Our data show that the Chinese apparel market inventory level of more than 30%. We expect this year's clothing discount sales market to reach $50 billion trillion. Large national channels such as the only goods council have a bargaining advantage that helps drive profitability and revenue growth.

Personalized business model: Only products will be the user group positioning in the "Value brand, price-sensitive" buyers, with a larger discount to provide a limited number of products. This is conducive to attracting buyers, but also with Alibaba and other E-commerce giants to form a differentiation. Another feature of its business model is that it does not pay the brand partner until the goods are sold.

Brand portfolio and market platform drive revenue growth: The only product is to optimize the brand mix, including some popular brands, and through the market platform to expand the product category. This facilitates the commercialization of conversion rates and traffic, and ultimately stimulates revenue and profitability growth.

Valuation: We give the only commodities stock "buy" initial rating, the target stock price of 116 dollars.