In a research report published Friday, Piper Jaffray analyst Gene Munster reiterated a Neutral rating on Jumei International Holding Ltd (ADR) (NYSE:JMEI) and raised the price target to $25 (from $16), which still implies a slight downside from current levels.

The report comes after the company reported solid  first-quarter results, with revenue of $250.6 million, compared to consensus estimate of $229.2 million, and guided Jun-15 revenue for $274.0 million, compared to consensus estimate of $232.1 million. However, the market was not convinced, sending shares down nearly 9 percent.

Munster wrote, “The core reason for the strong outperformance was a faster return of consumer engagement after Jumei recovered from removing 3P cosmetic products from its sites, which created headwinds in Dec-14. While this quick return was not immediately anticipated by investors, however given the nearly 100% run-up in shares since the Dec-14 report we believe investors have nearly fully come around to this conclusion. We believe that the Jumei story is strong, but at 22x ’16 EBITDA we believe shares now fully reflect the strength seen in the quarter and outlook.”

According to, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Gene Munster has a total average return of 26.7% and a 70.3% success rate. Munster has a average return when recommending JMEI, and is ranked #2 out of 3607 analysts.

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