Morgan Stanley
Morgan Stanley
Equalweight -> Equalweight
downgrade
Reason
Morgan Stanley has lowered the target price for CHINA OVERSEAS from HKD 13.5 to HKD 12.5 while maintaining an Equalweight rating. This decision is based on updated forecasts for 2025 and 2028, a 13% reduction in core EPS for 2026, and a 2% reduction for 2027. The adjustments reflect changes in property development schedules, slower rental income growth, a weaker recovery in gross margins, and higher selling and administrative expenses.