[ET Net News Agency, 17 August 2018] Goldman Sachs raised its target price for Champion
REIT (02778) to HK$6.39 from HK$6.29 on the back of the latest operating run-rates, and
maintained its "neutral" rating.
The research house revised its 2018-20 EPS forecasts by up to 3.3%. It said Champion
reported higher 1H results on better retail contributions.
With 42% space (from Three Garden Road) up for re-pricing in 2019 (of which 20.2% is
leases expiry and 22.4% is rent review), amid negative supply in Central (as Hutchison
House will be redeveloped), which will give rise to more opportunity to potentially close
their gap between passing rent and spot rent, Goldman said. (KL)