Market Performance: The HSI rose slightly by 11 points to 26,840, while the HSCEI and HSTECH increased by 49 points and 41 points, respectively, with a total half-day turnover of $207.38 billion.
HSBC Holdings and Hang Seng Bank: HSBC Holdings saw a significant drop of 6.2% due to plans to privatize Hang Seng Bank, which surged by 26.3% as a result of the announcement, with HSBC expected to suspend share buybacks for three quarters.
AI and Tech Stocks: AI-related stocks performed well, with notable gains in chip stocks like SMIC and HUA HONG SEMI, as well as significant increases in telecom and power infrastructure stocks, including ZTE and SH ELECTRIC.
Clean Energy Sector: Clean energy stocks also experienced upward movement, with GOLDWIND and FLAT GLASS rising by 8.9% and 7.7%, respectively, alongside other clean energy companies showing gains between 3.7% and 4.5%.
Wall Street analysts forecast 00005 stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for 00005 is USD with a low forecast of USD and a high forecast of USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
0 Analyst Rating
Wall Street analysts forecast 00005 stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for 00005 is USD with a low forecast of USD and a high forecast of USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
0 Buy
0 Hold
0 Sell
Current: 128.200
Low
Averages
High
Current: 128.200
Low
Averages
High
DBS
maintain
$139.2
Al Analysis
2026-01-09
Reason
DBS
Price Target
$139.2
Al Analysis
2026-01-09
maintain
Reason
The analyst rating from UBS for HSBC HOLDINGS (00005.HK) is maintained at Neutral with a target price of GBP10.35. The reason for this rating is that while UBS is more positive on the privatization deal involving Hang Seng Bank, they did not alter the ultimate value of HSBC HOLDINGS. This suggests that UBS sees potential benefits from the transaction but does not expect it to significantly change the overall valuation of HSBC in the long term.
Citi Research
NULL
to
Buy
maintain
2026-01-09
Reason
Citi Research
Price Target
2026-01-09
maintain
NULL
to
Buy
Reason
The analyst rating from Citi Research for HSBC HOLDINGS is based on several key factors:
1. Lowered EPS Forecasts: Citi Research has slightly reduced its EPS forecasts for 2025-2027 by 0-1%, primarily due to the expectation of an additional Federal Reserve rate cut in 2026.
2. Higher Revenue Assumptions: Despite the slight decline in EPS forecasts, Citi's projections remain 2-9% higher than the latest market consensus for the company's profit before tax. This is attributed to expectations of strong revenue growth, particularly in non-interest income from the Asian wealth business.
3. Positive Return on Tangible Equity (RoTE): Citi believes that HSBC can achieve a RoTE of approximately 19-20% in 2027-2028, indicating strong profitability potential.
4. Increased Target Price: With the introduction of a 2028 forecast and an extended terminal year in its valuation model, Citi raised its target price for HSBC from $127.8 to $138.3.
5. Reiterated Buy Rating: Given these factors, Citi Research has maintained a "Buy" rating on HSBC HOLDINGS, reflecting confidence in the company's future performance despite the minor adjustments to EPS forecasts.
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Citi
maintain
$138.3
2026-01-09
Reason
Citi
Price Target
$138.3
2026-01-09
maintain
Reason
The analyst rating from UBS is maintained as Neutral for HSBC Holdings (HSBA.L) with a target price of GBP10.35. The reason for this rating is that while UBS is more positive on the privatization deal involving Hang Seng Bank than the market, it did not alter the ultimate value of HSBC Holdings. This suggests that UBS sees potential benefits from the transaction but does not believe it significantly changes the overall valuation of HSBC.
Citi
NULL
to
Buy
maintain
2026-01-09
Reason
Citi
Price Target
2026-01-09
maintain
NULL
to
Buy
Reason
Citi has lowered its 2025-27 EPS estimates for HSBC HOLDINGS by 0-1% due to considerations regarding the Federal Reserve's interest rate cut forecasts. Despite this adjustment, the broker maintains a positive outlook, believing that HSBC HOLDINGS can achieve a return on tangible equity (RoTE) of around 19-20% by 2027 to 2028. Consequently, Citi has reiterated a Buy rating on HSBC HOLDINGS and raised its target price from HKD 127.8 to HKD 138.3.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
