[ET Net News Agency, 30 March 2021] HSBC Global Research lifted its target price for
China Overseas Land & Investment (COLI) (00688) to HK$27.9 from HK$22.1 and maintained its
"buy" rating.
Despite the slight miss on headline earnings versus HSBC's estimate, the research house
sees several positives embedded in the FY2020 results. First, DPS was up 16%. Second, a
consistently strong cash collection rate of 95%. Third, a still competitive GPM level
of 30%.
During the analyst briefing, management cited the prospect of a further uplift in the
dividend payout ratio. COLI also guided for "double-digit" contracted sales growth for the
next five years. (KL)