Citi Raises CKH HOLDINGS TP to HKD89 on Advantages from Diversified Businesses

Citi issued a research report saying that CKH HOLDINGS (00001.HK) -3.700 (-5.118%) Short selling $107.75M; Ratio 24.943% 's results for the first half were solid, with net profit surging more than 30x YoY to over HKD26.8 billion. Excluding one-off items and the UK telecommunications business, core earnings grew 7% YoY to HKD12.581 billion, representing about 56% of the broker's full-year earnings forecast. Citi believed CKH HOLDINGS (00001.HK) -3.700 (-5.118%) Short selling $107.75M; Ratio 24.943% has advantages from its diversified businesses under the current challenging operating environment.

Benefiting from CKI HOLDINGS (01038.HK) +1.050 (+1.663%) Short selling $24.01M; Ratio 16.114% 's disposal of interests in UK railways and the UK power grid, the group's net debt-to-net total capital ratio fell to a record low of 8.1% during the period. Following the completion in July this year of the sale of a 49% stake in VodafoneThree, which generated another GBP4.3 billion in cash proceeds, Citi believed CKH HOLDINGS (00001.HK) -3.700 (-5.118%) Short selling $107.75M; Ratio 24.943% 's gearing ratio could decline further. However, the broker was slightly disappointed by the lack of a clear explanation on how the accumulated cash would be deployed. It maintained a NAV discount of about 49%. As valuation was rolled forward to 2027, NAV was raised from HKD150.44 to HKD175, while the TP was lifted from HKD81.5 to HKD89, with the Buy rating maintained.(gc/u)(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-08-13 16:25.)