[ET Net News Agency, 23 September 2020] Huatai Research initiated coverage on China
Merchants Port (CMP)(00144) with a "buy" rating and a target price of HK$10.5.
The research house said CMP is a transnational port investor, developer, and operator,
with a comprehensive global port network coverage. The company constantly reviews its
existing port portfolio on performance and prospects and maximizes returns via
reinvestment in higher-return assets.
Huatai thinks its domestic ports contribute solid earnings, while its overseas
investments could be a new growth engine in the long run. Despite the demand disruption in
1H due to COVID-19, Huatai thinks CMP's underlying fundamentals are strong, supported by
its global presence and reinvestment strategy. (KL)