[ET Net News Agency, 12 August 2019] Goldman Sachs raised its target price for China
Resources Cement (CRC)(01313) to HK$6.3 from HK$6 and maintained its "sell" rating.
The research house said CRC's 1H result was 13% higher than Goldman's estimates.
Goldman estimated current unit GP was Rmb120-130/t, and expects limited seasonal
improvement in 2H, due to decelerating construction demand. The potential effective new
additions in clinker capacity in the name of "replacement projects" in the industry would
further weaken the supply/demand of the cement industry in 2020.
Goldman revised up earnings estimates by 3% for 2019, and 6% for 2020. (KL)