[ET Net News Agency, 2 September 2019] HSBC Global Research lowered its target price
for CNOOC (00883) to HK$18.39 from HK$19.64 and maintained its "buy" rating.
The research house said CNOOC's released a strong set of results with a net profit of
RMB30.25bn/EPS of RMB0.68, helped by higher volume and good cost control. The proposed
interim dividend implies an annualized dividend yield of 6%.
HSBC believes CNOOC is on track to reach its 2019 production target of 480-490mboe. It
expects that CNOOC can achieve the 4.4% CAGR for production implied in its guidance given
successful discoveries and explorations. HSBC raised its net income estimates by 3%/3%/5%
for 2019/20/21, mainly as a result of our higher CNY/USD assumptions. (KL)