[ET Net News Agency, 2 April 2019] Goldman Sachs raised its target price for CITIC Ltd.
(00267) to HK$12.6 from HK$11.6 and maintained its "neutral" rating.
The research house said CITIC's FY2018 core profit grew 11% on stronger performance from
the non-financials segment. Looking ahead, management expressed their long-term target to
raise the dividend payout ratio to above 30%.
On results, Goldman raised its EPS forecast for FY2019-20 to 3%/6%. Should the company
be able to show better visibility in delivering consistent returns from capacity ramp-up
to meet under-served demand and improving operating efficiencies, the stock could be
re-rated for higher earnings quality, Goldman added. (KL)