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| HSI1 | 25,063.71 | +681.24 | 303.07B |
| HSCEI1 | 8,499.53 | +191.71 | 100.62B |
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2026-03-24 11:13:29 UBS published a research report on CHINA TOWER (00788.HK), which delivered mixed results for 4Q25. Revenue and net profit met expectations, but EBITDA fell short, owing to heightened maintenance expenses for upgrading old towers. The group proposed a dividend payout of 77% of distributable net profit in 2025 (equivalent to 90% of reported net profit), similar to 76% in 2024, in line with UBS expectations. CHINA TOWER expected to achieve full distribution of reported net profit by 2028. UBS forecast net profit growth of 31%, 5%, and 0% YoY from 2026 to 2028, with DPS growing by 31%, 7%, and 9%. Based on UBS calculations, dividends account for about 55-70% of FCF, sufficient to cover dividend distribution. The target price was lowered from HKD13.5 to HKD11.6, corresponding to a forecast dividend yield of 6% in 2026, aligning with mainland telecoms. The rating was lowered from Buy to Neutral. ~ AASTOCKS Financial News Website: www.aastocks.com | |