Morgan Stanley predicts a mild adjustment in CKH Holdings (00001) earnings per share forecast in the next 12 months.
According to the research report released by Morgan Stanley, it has a negative view on CKH Holdings (00001) reducing mid-term dividends, and predicts a mild adjustment in the company's earnings per share forecast in the next 12 months. Daiwa Securities points out that CKH's defensive businesses (ports and infrastructure) in the first half of the year, as well as the low proportion of businesses in Mainland China and Hong Kong, will help the company achieve a 5% increase in EBITDA.
The bank indicated that the current free cash flow rate of CKH Holdings is still high at 11%, however, reducing dividends is not encouraging. The company announced its interim results yesterday, with a pure profit decrease of 9% year-on-year calculated based on the IFRS 16 standard, and a declared interim dividend of HKD 0.688 per share, a decrease of 9% year-on-year.