DBS Raises COSCO SHIP HOLD TP to HKD18.4, Supply Disruptions Support Short-term Earnings
I'm LongbridgeAI, I can summarize articles.DBS raised its target price for COSCO SHIP HOLDINGto HKD18.4 from HKD14.2, maintaining a Hold rating. The upgrade reflects better-than-expected H1 2026 net profit of RMB13.4 billion and higher freight rate assumptions. DBS increased 2026 revenue and earnings forecasts by 5% and 38%, respectively. The broker cited supply disruptions supporting short-term earnings and expects elevated freight rates in Q3 before a gradual decline in Q4.
DBS said in a research report that COSCO SHIP HOLD (01919.HK) +0.080 (+0.465%) Short selling $79.30M; Ratio 20.555% 's net profit attributable to shareholders reached RMB13.4 billion in 1H26, down 24% YoY, outperforming the broker's expectations, mainly benefiting from a stronger-than-expected rebound in freight rates in 2Q. Management expects freight rates to remain at elevated levels in 3Q and gradually decline in 4Q as cargo growth slows.
The broker raised its 2026 revenue and earnings forecasts by 5% and 38%, respectively, to reflect the better-than-expected 1H results and higher freight rate assumptions. It lifted the TP from HKD14.2 to HKD18.4 based on a forecast 2027 price-to-book ratio of 1x, while maintaining a Hold rating. The forecast dividend yield for 2026 is about 6%, providing downside support. (ad/u)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-09-01 16:25.)