[ET Net News Agency, 13 September 2019] HSBC Global Research lowered its target price
for GCL-Poly Energy Holdings (03800) to HK$0.35 from HK$0.4 and maintained its "hold"
rating.
The research house made no changes to its 2019-21 earnings. It revised down its medium-
to long-term wafer sales growth to 3-4% (previous: 5%) as it waits to see the actual
customer acceptance of GCL-Poly's new wafer technology.
HSBC was encouraged by the business update on GCL-Poly's new quasi mono conversion plan.
The balance sheet issue could potentially be relieved by the plan to divest a 51% stake in
its solar farm business to China Huaneng Group, but the deal is still pending. (KL)