[ET Net News Agency, 24 March 2021] Macquarie Research lowered its target price for
Tingyi (Cayman Islands) Holding (00322) to HK$18.4 from HK$21 and maintained its "buy"
rating.
The research house said Tingyi's 2020 revenue beat and net profit came in broadly in
line with Macquarie's estimate. Management provided a mixed outlook, as noodles are seeing
a high base, while a lift to the dividend payout ratio has not been ruled out.
Macquarie thinks raw material costs are the biggest headwind and should lead to a 14.7%
net profit decline this year. It lowered its 2021/22 EPS forecasts by 17%/14% to reflect
raw material cost headwinds. (KL)