[ET Net News Agency, 5 February 2021] HSBC Global Research lifted its target price for
PA Good Doctor (PAGD) (01833) to HK$120.5 from HK$115 and maintained its "buy" rating.
The research house said PAGD set up a dedicated team to work with Ping An Health
Insurance and other small to mid-sized insurance companies to develop and expand product
offerings, combining insurance with online medical services. Leveraging its client base
and big data, PAGD looks to sell its new products online.
HSBC reduced its HM (Health Mall) income estimate and lifted the OMS (Online Medical
Services) contribution in light of the new business initiatives. But its higher earnings
assumptions are partly offset by a change in the cash conversion cycle after factoring in
FY2020 figures. (KL)