UBS Downgrades NCI to Neutral, Lowers TP to HKD45.5
I'm LongbridgeAI, I can summarize articles.UBS downgraded NCIto Neutral and lowered its target price from HKD48.5 to HKD45.5. The broker cited slowing VONB growth in H2 2026 due to new policies and a high base, reducing 2026-27 VONB forecasts by 3-4%. Despite predicting 1H26 net profit growth of 40-60% YoY, UBS maintained a cautious outlook on near-term profitability trends.
NCI (01336.HK) +2.860 (+6.587%) Short selling $178.83M; Ratio 33.740% predicted 1H26 net profit to grow 40-60% YoY to RMB21-24 billion, reaching the lower end of market forecasts for 50-80% growth, UBS said in a research report.
Affected by new policies implemented from July and the high base in 2025, the broker expected YoY growth in VONB in 2H26 to slow further. It lowered its 2026-27 forecasts for VONB by 3- 4%, and cut the TP from HKD48.5 to HKD45.5, while maintaining a Neutral rating.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-07-14 12:25.)