In "Major Banks," China International Capital Corporation is optimistic about the supply and demand pattern of SITC's small container ship market, raising the target price to 40 yuan

CICC research report indicates that SITC (01308.HK) announced its 2025 performance, with revenue increasing by 12% year-on-year to USD 3.41 billion, and net profit attributable to shareholders increasing by 19% year-on-year to USD 1.22 billion, with earnings per share of 45 cents, in line with the bank's expectations.

Based on the higher-than-expected freight rates for the entire year due to geopolitical conflicts, CICC is optimistic about the supply and demand pattern in the small container ship market, raising SITC's net profit forecast for 2026 by 14.7% to USD 1.2 billion, and introducing a net profit forecast for 2027 of USD 1.06 billion for the first time. The rating is maintained at "outperforming the industry," and the target price is raised by 11.1% to HKD 40, corresponding to a price-to-earnings ratio of 11.6 times for 2026 and 13.1 times for 2027, indicating a 20% upside potential compared to the current stock price