[ET Net News Agency, 10 July 2020] Daiwa Research raised its target price for CITIC
Securities (CITICS)(06030) to HK$25 from HK$22 and maintained its "buy" rating.
The research house said CITICS' 1H net-profit growth of 37% is stronger than listed
peers' average of 27%. Nomura expects it to deliver above-peer earnings growth for both 1H
and 2020.
It said that CITICS remained in the top spot in both the ECM and DCM league tables for
1H. Nomura believes the recent capital-market reform initiatives in China will continue to
spur the growth of the overall equity financing market, and particularly benefit CITICS
given its proven expertise and differentiated brand name for both existing and innovative
businesses.
Nomura revised up its earnings for 2020-21 by 4-5% to reflect its higher A-share ADT
assumptions and higher investment income amid the recent A-share rally. (KL)