[ET Net News Agency, 17 October 2019] Goldman Sachs lowered its target price for Sun
Hung Kai Properties (SHKP)(00016) to HK$145 from HK$172 and maintained its "buy" rating.
The research house said about half of SHKP's earnings are driven by recurring rentals,
which Goldman expects to deliver a 3% CAGR over the next three years amid positive rental
reversions and new completions.
Goldman lowered its EPS forecasts for SHKP by up to 6% on the back of our revisions to
sector growth assumptions, and it also expanded the target discount by 10pp to 35% to
reflect a slower growth path for its rental portfolio. (KL)