20/08/2019 15:03

{I-bank focus}Huatai lowers Towngas China (01083) to HK$6.1

[ET Net News Agency, 20 August 2019] Huatai Research lowered its target price for
Towngas China (TCCL)(01083) to HK$6.1 from HK$6.5 and maintained its "hold" rating.
The research house remains cautious on TCCL's potential growth considering no new
acquisitions nor other new business plans. Huatai cut its earnings forecasts for 2019/20
by 3/5%, to reflect the slowdown in the growth of domestic gas demand and a further
decline in connection margin.
The NDRC announced on 3 July new rules to regulate the gas connection market by setting
reasonable returns on connection fees. Huatai expects the new regulations will have
limited impact on gas companies. Without further concerns on policy uncertainties, it
forecast the operating margin of connection business to stay at 43% in 2019. (KL)

etnet財經‧生活App   財智‧健康‧品味生活     【立即下載】  iOS版 / Android版

【etnet Bonus賞你】好好社企 中秋精選月餅禮盒

【etnet Bonus賞你】領展TKO Gateway便攜式香薰機

【etnet Bonus賞你】荃灣千色匯及元朗千色匯 x 韓國紙雕插畫藝術家Soo Min Kim 消暑手搖沙冰杯+簡約家用收納箱