A director at Hong Kong Exchanges & Clearing maiden bought 3,000 shares at 369.600HKD and the significance rating of the trade was 63/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over th...
HKEX’s 1Q25 earnings came in within our expectations with a strong net profit growth of 37% yoy on the back of elevated ADT and stronger-than-expected NII. Opex costs were well-contained with a 7% yoy increase, partially offsetting the impact of a higher tax rate. We expect few catalysts to support headline ADT amid tariff uncertainties, including a strong Southbound flow, ADR homecoming and HKEX’s ongoing trading structure enhancements. Maintain BUY. Target price: HK$390.00.
KEY HIGHLIGHTS Economics PMI: A sharp contraction in overseas demand. Sector Healthcare: Drug innovators continue to drive market growth. Macau Gaming: Apr 25 GGR beat expectations; May Day Golden Week visitor arrivals expected to grow 4% yoy. Results ASMPT (522 HK/BUY/HK$52.20/Target: HK$68.00): 1Q25: Earnings disappoint; mainstream tools recovering in 2025 but visibility remains low. Maintain BUY. China Tourism Group Duty Free (601888 CH/BUY/Rmb63.40/Target: Rmb70.80): 1Q25: Core net profit...
GREATER CHINA Sector Macau Gaming: Apr 25 GGR beat expectations; May Day Golden Week visitor arrivals expected to grow 4% yoy. Results ASMPT (522 HK/BUY/HK$52.20/Target: HK$68.00): 1Q25: Earnings disappoint; mainstream tools recovering in 2025 but visibility remains low. Maintain BUY. China Tourism Group Duty Free (601888 CH/BUY/Rmb63.40/Target: Rmb70.80): 1Q25: Core net profit down 16% yoy; sequential improvement in Hainan duty-free sales. Ganfeng Lithium (1772 HK/BUY/HK$18.94/Target: HK$30.00)...
HKEX is expected to report a 36.3% yoy net profit growth in 1Q25, driven by a strong headline ADT performance amid the AI frenzy in China. Despite the volume spike following the US tariff shock, we believe such a high turnover velocity driven by market uncertainty is unlikely to continue and we expect headline ADT to ease gradually as risk-off sentiment prevails. However, the current valuation (-0.5SD) is not particularly stretched after the recent pullback, in our view. Maintain BUY. Target pri...
KEY HIGHLIGHTS Update Hong Kong Exchanges and Clearing (388 HK/BUY/HK$328.40/Target: HK$394.00) HKEX is expected to report a 36.3% yoy net profit growth in 1Q25, driven by a strong headline ADT performance amid the AI frenzy in China. Despite the volume spike following the US tariff shock, we believe such a high turnover velocity driven by market uncertainty is unlikely to continue and we expect headline ADT to ease gradually as risk-off sentiment prevails. However, the current valuation (-0.5...
GREATER CHINA Update Hong Kong Exchanges and Clearing (388 HK/BUY/HK$328.40/Target: HK$394.00): Expecting solid 1Q25 earnings growth but trade war risk lingers. INDONESIA Sector Mining: The gold game: Key beneficiaries of the bull run. MALAYSIA Malaysia Gems Conference Highlights Alliance Bank Malaysia (ABMB MK/HOLD/RM4.35/Target: RM4.84): Loan growth outpaces industry but rights issue caps upside. Maintain HOLD and target price of RM4.84. ITMAX Systems (ITMAX MK/BUY/RM3.72/Target: RM4.30): Ex...
HKEX’s 4Q24 results were largely in line with our expectations. The share price has rallied over 20% ytd amid the DeepSeek-driven market rally. However, we think the valuation is not stretched (-0.2SD) and has yet to fully reflect the broader market expansion and elevated ADT levels. Multiple tailwinds, such as China’s AI frenzy, strong southbound flows and the IPO recovery could support ADT in the near term and drive valuation re-rating. Maintain BUY. Target price: HK$418.00.
KEY HIGHLIGHTS Sector Automobile China’s auto sales picked up in the eighth week of 2025, but consumers’ wait-and-see sentiment continues amid the transitional period of product upgrades. Geely will hold an AI Intelligence Strategy Conference on 3 Mar 25, which may boost its stock price. Given the stronger-than-expected market response, we upgrade Li Auto and XPeng from HOLD to BUY and raise target prices to HK$156.00 and HK$110.00 respectively. Maintain MARKET WEIGHT. Top BUYs: Geely, Fuyao, ...
GREATER CHINA Sector Automobile Weekly: PV sales picked up wow while the wait-and-see sentiment continues. Upgrade Li Auto and XPeng from HOLD to BUY and raise target price to HK$156.00 and HK$110.00 respectively. Maintain MARKET WEIGHT on the sector. Top BUYs: Geely, CATL, Fuyao and Desay. Results BeiGene (6160 HK/BUY/HK$161.60/Target: HK$220.00) 2024: Results beat; targets operating profit...
HKEX is expected to report a 43.2% yoy net profit growth in 4Q24, driven by strong headline ADT performance and resilient NII. While the market may have priced in this result based on October and November turnover data, we believe the current valuation does not fully reflect the elevated headline ADT level. The minimum spread reform and IPO market revival could provide additional upside to ADT growth amid concerns over US tariffs and slower pace of rate cuts. Maintain BUY. Target price: HK$352.0...
KEY HIGHLIGHTS Update Anta Sports (2020 HK/BUY/HK$75.25/Target: HK$120.60) Sales momentum of the Anta brand and Fila both improved in 4Q24 compared to 3Q24, in terms of yoy growth, especially for Fila, although both brands fell short of the full-year sales targets. By channel, the performance of the offline channel has normalised. For 2025, management maintains the company’s mid- to long-term sales targets. In addition, the company plans to prioritise Super Anta as the key focus of store innov...
GREATER CHINA Update Anta Sports (2020 HK/BUY/HK$75.25/Target: HK$120.60): Improved 4Q24 sales; Fila the bright spot; mid-to-long term sales targets maintained. Hong Kong Exchanges and Clearing (388 HK/BUY/HK$284.00/Target: HK$352.00): 4Q24 results preview: Strong earnings growth on reviving turnover. INDONESIA Update Kalbe Farma (KLBF IJ/BUY/Rp1,275/Target: Rp1,800): Higher sales growth in pharma and medical devices expected in 2025. MALAYSIA Sector Gloves: After the stellar share price perfo...
HKEX reported a 6.5% yoy earnings growth in 3Q24 after a sharp increase in headline ADT following the rollout of stimulus packages by China in late-September. Although market velocity has normalised, ADT remains elevated, and NII could be more resilient going forward, suggesting more upside for earnings. The risk-to-reward ratio is more balanced now after the recent correction as HKEX is trading close to historical average of 30.5x forward PE. Upgrade to BUY. Target price: HK$364.00.
KEY HIGHLIGHTS Results Hong Kong Exchanges and Clearing (388 HK/BUY/HK$314.80/Target: HK$364.00) HKEX reported a 6.5% yoy earnings growth in 3Q24 after a sharp increase in headline ADT following the rollout of stimulus packages by China in late-September. Although market velocity has normalised, ADT remains elevated, and NII could be more resilient going forward, suggesting more upside for earnings. The risk-to-reward ratio is more balanced now after the recent correction as HKEX is trading ...
GREATER CHINA Results Hong Kong Exchanges and Clearing (388 HK/BUY/HK$314.80/Target: HK$364.00) 3Q24: Risk-and-reward is more balanced. Upgrade to BUY. Han’s Laser (002008 CH/HOLD/Rmb24.42/Target: Rmb22.70) 3Q24: Net profit misses, but visibility of recovery improving. Downgrade to HOLD. New Oriental Education & Technology Group (EDU US/BUY/US$62.15/Target: US$85.00) 1QFY25: In line; moderated growth outlook in 2QFY25 on low seasonality. Update Xtep International Holdings (...
The increased turnover resulting from policy easing in China and the US rate cuts will improve HKEX's earnings. However, we remain cautious on the extremely high turnovers and the rich valuation (+1.2SD) might have priced in the sharp increase in ADT. We estimate that a 10% ADT increase could lead to a 4.8% EPS growth, but the NII decline will exert downward pressure on earnings. Thus, we see limited room for further valuation re-rating and downgrade HKEX to HOLD. Target price: HK$355.00.
GREATER CHINA Sector Consumer Golden Week: Tourism and home appliances the bright spots; refocus on China theme. Internet Government policy rollout to boost consumption and drive valuation repair. Update Hong Kong Exchanges and Clearing (388 HK/HOLD/HK$340.80/Target: HK$355.00) Further valuation re-rating requires more sustainable AD...
KEY HIGHLIGHTS Sector Consumer Golden Week: China consumer stocks under our coverage have rebounded by 33% on average since end-Sep 24, but current valuations are still undemanding. With direct policy support and a potential wealth effect, we believe China consumers are restoring their confidence. China consumer companies should see better earnings visibility in 2024, which should support further re-rating. We suggest investors refocus on the China theme in the near term. We prefer Anta, Gal...
GREATER CHINA Strategy Alpha Picks: September Conviction Calls: We expect an improving operating performance among selected companies in September, and add AIA, COLI, Desay SV, Galaxy Entertainment, Meituan, Ping An and TUL to our BUY list and add Li Auto as a SELL. INDONESIA Strategy Alpha Picks: Trailing The JCI’s Strong Performance In Aug 24: Our picks are ICBP, TOWR, BBNI, BMRI, BBRI, EXCL, CTRA, BBTN, CMRY, SIDO and JSMR. MALAYSIA Strategy Alpha Picks: Adapting To A Bipolar Market: Our Al...
Unfortunately, this report is not available for the investor type or country you selected.
Report is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.