[ET Net News Agency, 6 June 2018] Citi Research cut its target price for China
Everbright International (CEI)(00257) to HK$14.2 from HK$14.5, and retained its "buy"
rating.
The research house trimmed its CEI 2018-19 net profits forecasts by 3-4% on lower growth
after the spin-off China Everbright Greentech (01257) in May 2017.
Citi noted that CEI has ample new project pipelines with estimated capex to +30% yoy in
2018 to sustain growth. It believes more projects would commission to add to its revenue
from operation by 30-40% yoy in 2018.
The share now trades at 11.7x 2018 PER, which looks undemanding versus 2017-19 net
profit CAGR of 26%, Citi said. (KL)