Update shared on06 Sep 2025
Analysts have tactically maintained their price target for Wharf Real Estate Investment at HK$25.92, citing early signs of stabilization in Hong Kong retail sales, a bottoming in operational metrics, and broader sector momentum, while emphasizing near-term downside protection rather than a long-term recovery.
Analyst Commentary
- Bullish analysts highlight the first positive Hong Kong retail sales growth since February 2024 as a signal of stabilization in the business environment.
- Upward revision in the price target reflects a tactical shift based on sector momentum, rather than an expectation of a significant recovery.
- Signs of bottoming in core operational metrics prompt greater confidence in near-term downside protection.
- The upgrade is described as tactical, suggesting potential for short- to medium-term outperformance rather than a long-term structural change.
- Nasdaq market improvements and resilience in core property assets provide additional support for the upgrade.
What's in the News
- Announced a first interim dividend of HKD 0.66 per share for the half-year, up from HKD 0.64 previously, totaling HKD 2,004 million and representing 65% of underlying net profit from investment properties and hotels in Hong Kong.
- Scheduled a board meeting to approve the interim results announcement and consider the interim dividend payment.
Valuation Changes
Summary of Valuation Changes for Wharf Real Estate Investment
- The Consensus Analyst Price Target remained effectively unchanged, at HK$25.92.
- The Discount Rate for Wharf Real Estate Investment remained effectively unchanged, moving only marginally from 10.03% to 10.04%.
- The Future P/E for Wharf Real Estate Investment remained effectively unchanged, at 14.49x.
Disclaimer
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