[ET Net News Agency, 27 November 2019] Daiwa Research lowered its target price for
China Gas (CGHL)(00384) to HK$29.9 from HK$31.6 and downgraded its rating to "hold" from
"outperform".
The research house said CGHL's 1H FY2020 results were above Daiwa's expectations. CGHL
is trying to speed up the AR (accounts receivable) collection and PetroChina is collecting
advanced payment from it for residential users at non-residential city-gate prices, which
could negatively affect gas sales dollar margin and sales volume of rural projects.
Management targets speeding up the AR collection to HK$5bn in FY2020 from HK$2.4bn
during FY2018-19. However, Daiwa sees this potentially negatively impacting the dollar
margin and gas sales volume.
For FY2021-22, assuming the overall residential citygate price is up by 27%, Daiwa
expects the dollar margin to drop to CNY0.5/m3 from CNY0.63/m3 in 2019-20, but be
unchanged at CNY063/m in 2020-21, if the subsidy remains. (KL)
|
|
|
|
|
|
|
|
|
|
Super Quote | Detail Quote | Interactive Chart | Transaction | Related News | Related Securities | Company Information | Dividend Records | Short Sell
00384 CHINA GAS HOLD
Nominal 
6.880 -0.130 (-1.854%) Others
27/11/2019 10:06
{I-bank focus}Daiwa downgrades China Gas (00384) to HK$29.9
| Remark: | Real time quote last updated: 19/04/2024 14:40 |
| Real-time basic market prices of Hong Kong securities are provided by HKEx; a Designated Website authorized by the HKEx Group to provide the Service |