[ET Net News Agency, 21 November 2017] Daiwa Research lifted its target price for
Shangri-La Asia (00069) to HK$22 from HK$17.6, and maintained its "buy" rating.
The research house said Shangri-La's share price has gone up by 38% in the past two
months on a sector wide re-rating. Daiwa believes the stock has yet to reflect the
potential above-peer RevPAR growth, driven by operational improvements, as well as
continued asset-inflation in Hong Kong and China.
It lifted its 2017-19 RevPAR growth estimates by 1-2pp, after the positive read-across
in numbers from its global peers, as well as favourable RevPAR data trends from hotel data
provider STR. Daiwa raised its 2017-19 aggregate EBITDA by 1-2%. (KL)