On
the opening day of the Chinese People's Political Consultative
Conference (CPPCC), Shenzhen Component Index and Shanghai Composite
Index plunged to 11,526 and 3,263 at market's close, down 3% and 2.2%
respectively. ChiNext Index also receded 1.3%, snapping its previous
gains. Turnover of Shanghai and Shenzhen markets continued to gain
RMB441.5 billion and RMB406.3 billion.
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...
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