[ET Net News Agency, 13 August 2020] Nomura lifted its target price for China Unicom
(00762) to HK$5 from HK$4.7 and maintained its "neutral" rating.
The research house said China Unicom delivered a solid 1H print. In 2H, the company is
likely to continue its recovery for mobile service bolstered by 5G business expansion,
while surging operating costs may still weigh on earning growth potential.
Nomura slightly lowered itds 2020-22 earnings forecasts by 1-4% to reflect higher
depreciation on 5G investment. It thinks the company should continue to benefit from its
"5G + industry" strategy, and deliver sustainable growth in the emerging business. (KL)