Latest Search
Quote
| Back Zoom + Zoom - | ||||
|
<Research>UOB Kay Hian Names CCB as Top Pick; Potential Risks from US Tariff Hikes for CN Banks Manageable
Recommend 47 Positive 68 Negative 37 |
||||
|
||||
|
US President Donald Trump's unprecedented reciprocal tariffs triggered a massive sell-off in the Hong Kong market earlier, according to a report from UOB Kay Hian. Four state-owned banks in China announced capital replenishment plans at the end of March 2025, and their dilutive effect was broadly in line with expectations. Considering the potential risk for Chinese banks from Trump's tariff hikes manageable, UOB Kay Hian opined that investors may focus on defensive Chinese banks with high dividend yields amid the tariff shocks that dampened investor sentiment. The broker's top pick was CCB (00939.HK), given its modest equity dilution from recapitalization as well as robust and attractive yield. It gave the bank a Buy rating, with a target price of $7.5. Noticing that CM BANK (03968.HK)'s valuation had become increasingly attractive, the broker also upgraded the rating for this bank to Buy, with a target price of $49. AAStocks Financial News |
||||
Copied to Clipboard
 |
||||
