[ET Net News Agency, 31 July 2020] Goldman Sachs raised its target price for Hang Lung
Properties (HLP)(00101) to HK$19.5 from HK$19 and maintained its "neutral" rating.
The research house said saw early signs of an operational recovery from COVID-19
impacts; however, given renewed macro uncertainties, this is likely leading the physical
real estate market towards another bumpy period ahead.
For HLP, while Goldman sees downside risks given ongoing uncertainties in HK's nrental
market, it thinks HLP will continue to see improvement in the Mainland China operations.
Also, with additional contributions from new openings, Goldman expects a V-shape retail
recovery in Mainland China, partly offsetting a still-weak Hong Kong.
Factoring in this set of results, the latest rental run-rates and more capitalization on
the interest expense front, Goldman revised its FY2020-22 EPS estimates by -1%/+2/+2%.
(KL)