UBS: Upgrade Hopson Development Holdings (00014.HK) target price to 15.7 Hong Kong dollars, rating "Neutral"

According to the Wisdom Financial APP, UBS released a research report stating that due to the decline in the Hong Kong Interbank Offered Rate (HIBOR) and the improvement in the fundamentals of the Hong Kong retail and office building market, the stock price of Sun Hung Kai Properties (00014.HK) has risen by 33% since the beginning of the year. The bank pointed out that although there is still very little cushion space, operating cash flow should roughly cover dividend payments from 2025 to 2026. Due to the increasing difficulty in obtaining new financing, mainly due to commercial banks remaining cautious about Hong Kong commercial real estate and high bond yields, any deterioration in fundamentals could trigger a dividend cut. The bank stated that it has lowered its earnings per share forecast for 2026 to 2027 by 7% to 9% for Sun Hung Kai Properties, raised its target price from HK$11 to HK$15.7, and rated it as "Neutral".