Despite cutting FY19-20F earnings after tweaking residential margins and tax rate assumptions, especially in China, Lock’s revised target price is one cent higher than previously upon accounting for CapitaLand’s latest balance sheet metrics.
SINGAPORE (Feb 21): CGS-CIMB Research, DBS Vickers Securities and OCBC Investment Research are maintaining “buy” on CapitaLand with the respective price targets of $3.56, $3.62 and $3.98, after the group posted 71.2% higher earnings of $476 million for the 4Q ended Dec 2018.
In a Wednesday report, CGS-CIMB analyst Lock Mun Yee says she continues to like the stock for its robust residential sell-through rate in China, the management’s active capital recycling, and its proposed acquisition of Ascendas-Singbridge to create Asia’s largest diversified real estate group.
