[ET Net News Agency, 30 October 2019] Credit Suisse lowered its target price for China
Longyuan Power (00916) to HK$7.7 from HK$8 and maintained its "outperform" rating.
The research house said Longyuan's 3Q net profit declined, given the 5% reported output
drop (utilisation hours down 9%) due to weak wind resources, not a total surprise.
Longyuan has received Rmb1.9bn subsidy year-to-date, larger than the Rmb255mn received
in 1H. Management remains confident that full-year collection should be over Rmb4bn (more
than last year).
Credit Suisse cut its FY2019-21 EPS forecasts by 4-9%, largely on lower output
assumptions. (KL)