---
title: "Citi lowers the target price for CHINA POWER to 2.75 yuan, rating downgraded to \"Sell\""
description: "Citi has downgraded the rating of CHINA POWER from \"Buy\" to \"Sell,\" with a target price reduced to HKD 2.75, and has lowered the net profit forecasts for 2025 to 2027 by 15%, 27%, and 38%, respectivel"
type: "news"
locale: "en"
url: "https://longbridge.com/en/news/274743401.md"
published_at: "2026-02-04T02:15:30.000Z"
---

# Citi lowers the target price for CHINA POWER to 2.75 yuan, rating downgraded to "Sell"

> Citi has downgraded the rating of CHINA POWER from "Buy" to "Sell," with a target price reduced to HKD 2.75, and has lowered the net profit forecasts for 2025 to 2027 by 15%, 27%, and 38%, respectively. It is expected that profits in 2026 will decline due to a reduction in electricity prices. Although dividends for 2025 and 2026 will not be cut, the 2026 dividend yield of 5.7% is insufficient to offset the risks of declining profits

Citi published a research report, downgrading the rating of CHINA POWER (02380.HK) from "Buy" to "Sell," and lowering the target price from HKD 3.5 to HKD 2.75. Additionally, the bank has cut the company's net profit forecasts for 2025 to 2027 by 15%, 27%, and 38%, respectively.

The bank believes that due to the impact of electricity price reductions, CHINA POWER's expected earnings for 2026 may decline year-on-year. Although the company is not expected to cut dividends for 2025 to 2026, its expected dividend yield of 5.7% for 2026 seems insufficient to offset the earnings downside risk caused by the downward trend in China's electricity prices

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> **Disclaimer**: This article is for reference only and does not constitute any investment advice.