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Citi Slightly Drops HSBC HOLDINGS (00005.HK) TP to $105.6, Reiterates Rating at Buy
2025-08-01 09:46:46
Citi Research issued a research report lowering its 2025 underlying EPS forecast for HSBC HOLDINGS (00005.HK) by 4%, primarily considering the larger impairment charges in Hong Kong's commercial real estate in 2Q25, and reducing reported EPS by 9%, mainly due to significant impairments related to Bank of Communications. At the same time, the broker cut its 2026-2027 EPS forecasts slightly by 1%.

Citi Research expected HSBC HOLDINGS' 2025-2027 return on tangible equity to be 15.5-17%, higher than HSBC HOLDINGS' target of 14-16% and market consensus of 15-15.5%. After adjusting its EPS forecasts, the broker dropped its target price from $106.2 to $105.6, with rating reiterated at Buy.
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