We update on PNJ with an OUTPERFORM rating and a total stock return of 16%. We increased our target price by 24% mainly because we revised up 2018F NPAT by 6% while raising our target 2018 PER by 16% to 25x, while it was partly offset by a 3% ESOP issuance. Our 2018 NPAT revision was primarily driven by stronger-than-expected SSSG and margin expansion in the retailing segment, which is in turn aided by a better product mix.