[ET Net News Agency, 4 September 2019] UBS Global Research lowered its target price for
China Merchants Port (CMP)(00144) to HK$17.6 from HK$18.3 and maintained its "buy" rating.
The research house trimmed its 2019-21 recurring net profit forecasts by 1-3%, to
reflect (1) lower throughput growth in 2H and 2020 due to trade tension and the slowdown
in HK and some overseas terminals; (2) lower operating margin in overseas business.
Going forward, UBS remains positive on its leading position in port consolidation and
overseas expansion. Meanwhile, UBS thinks the 2019/20 dividend yield of 8%/4% looks
attractive. (KL)