[ET Net News Agency, 3 December 2019] Huatai Research raised its target price for China
Overseas Grand Oceans Group (COGO)(00081) to HK$5.2 from HK$5 and maintained its "buy"
rating.
The research house said COGO is likely to continue on its recovery path in 2020, with
stable scale expansion. Huatai applied a wide NAV discount of 60% for COGO because of the
company's heavy exposure to lower-tier cities, which is expected to face weakening sales
momentum in 2020.
However, Huatai raised its core net profit estimates for COGO by 1-25% over 2019-2021 to
factor in its refreshed physical property market outlook for 2019-2020. (KL)