[ET Net News Agency, 6 August 2019] Huatai Research initiated coverage on Jiangsu
Expressway (JSE)(00177) with a target price of HK$12.3 and a "buy" rating.
The research house said JSE has a decent return outlook from a long-term perspective.
Huatai expects the returns to be supported by the commencement of operation of new toll
roads and advantageous location, on robust traffic outlook and added-value from expressway
service area development.
In the short term, Huatai noted that JSE still has heavy expenditure plans for toll road
construction for 2019-2021. The sizable capex may impact the current cash allocation
decisions. (KL)