[ET Net News Agency, 24 March 2021] Goldman Sachs cut its target price for A-Living
Smart City Services (03319) to HK$49 from HK$52 and maintained its "buy" rating.
The research house said A-Living reported in-line FY2020 results. Post results, Goldman
raised its 2021-23 EPS forecasts by 6%-7% to reflect (1) management updated GFA expansion
target, (2) new revenue streams from city services, and (3) 2ppt lower GPM/NM to average
28%/15% in 2021-23 with evolving revenue mix.
Goldman remains positive on the company's longer-run fundamental growth outlook as a
leading national PM (property management) service provider, given its well-positioned
geographic layout, established exposure in diversified 2C2B2G property types, and new
ventures in comprehensive city services. (KL)