LUK FOOK HOLD (00590.HK) +2.400 (+10.345%) Short selling $3.55M; Ratio 2.746%
announced that the net profit of the company amounted to $805 million
for the six months ended September, against 16.6% decline same period
last year. EPS dropped 16.5% yearly to $1.37. The interim dividend
amounted to $0.55. The yield increased 1.8 ppts to 40.3%, compared with
the dividend of $0.63 same period last year.
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.
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