[ET Net News Agency, 13 March 2020] Citi Research lowered its target price for Swire
Properties (SWP)(01972) to HK$27.8 from HK$29.3 and maintained its "buy" rating.
The research house believes (1) its 8mn sq ft Island East portfolio should be more
defensive than other Central office plays, (2) its China projects have seen continuous
strong retail sales growth in 2019, and (3) full year occupancy of One Taikoo Place
tenants will contribute additional rental revenue for 2020.
After factoring in 6-month 30% rent concessions for all HK retail tenants in FY2020,
Citi sees its FY2020 net profit is just subject to a 2% decline. (KL)