Investment Ratings and Target Prices for Hong Kong Exchanges and Clearing (Table)

Hong Kong Exchanges and Clearing (00388.HK) will announce last year's performance on February 26 (Thursday). Benefiting from the active trading of Hong Kong stocks (the average daily trading amount last year was HKD 249.8 billion, a year-on-year increase of 90%) and the significant increase in the amount raised from initial public offerings last year, which rose 2.25 times year-on-year to HKD 285.8 billion, our website has compiled the expectations of 7 brokerages for Hong Kong Exchanges and Clearing's net profit for the full year of 2025 to be between HKD 16.721 billion and HKD 17.346 billion, compared to HKD 13.050 billion in the same period of 2024, representing a year-on-year growth of 28.1% to 32.9%, with a median of HKD 17.151 billion, a year-on-year increase of 31.1%. Investors will pay attention to the management's guidance on optimizing lot sizes (in December last year, it was suggested to simplify the number of shares per lot from over 40 to 8), T+1 settlement, public shareholding revisions, and comments on handling new stock listings.

The table below lists the ratings and target prices (in HKD) given by 9 brokerages:

Brokerage│Rating│Target Price

Goldman Sachs│Buy│550

DBS│Buy│540

HSBC Global Research│Buy│530

JP Morgan│Overweight│530

Bank of America Securities│Buy│520

Morgan Stanley│Overweight│508

Citi│Buy│505

CICC│Outperform│500

UBS│Neutral│471