As stated in the report of Credit Suisse, the third quarterly revenue of SH PHARMA (02607.HK) +0.080 (+0.414%) Short selling $643.69K; Ratio 4.148%
shot up 27.7% to RMB 24.703 billion. Excluding special items, the
increasing rate of earnings recorded a year-on-year increase of 13.9%,
an acceleration from 5.8% in the first half of the year. It is believed
that the annual core earnings will record a double-digit growth. The
target price of Shanghai Pharmaceuticals was lifted from $15.04 to $19,
which represents 15x of P/E. The rating was maintained at Neutral.
CLSA lowers Beijing Ent Water (00371) to HK$6 CLSA cut its target price for Beijing Enterprises Water (BEW)(00371) by 8% to HK$6, and reiterated its "buy" rating. The research house said BEW's share price has dropped 14% in the last two trading days. First, the 2017 earnings results are below expectations. Second, management is guiding for 20-25% net profit growth for 2018, versus 30% in the past few years. Management now has a cautious approach to water PPP (public-private partnership) projects, which is not necessarily bad. CLSA cut its 2018-19 earnings forecasts by 19%. At the current level, it believes many of the negatives are already priced-in.
Comments
Post a Comment