CLSA Upgrades WHARF REIC (01997) to "Outperform," Raises Target Price to HK$40

Stock News
Mar 11

CLSA issued a research report stating that WHARF REIC (01997) reported a 5.2% year-on-year increase in underlying profit to HK$6.456 billion for last year, surpassing expectations. This was attributed to better-than-anticipated leasing performance at Harbour City and higher-than-expected interest savings. The firm has raised its profit forecasts for the company for this year and next by 2.2% and 0.3%, respectively. Its target price has been increased from HK$18.8 to HK$40, and its rating has been upgraded from "Hold" to "Outperform." The report noted that since the second half of 2025, the company's retail sales recovery has accelerated, aligning with a positive outlook for Hong Kong's luxury goods sales. Driven by favorable factors such as growth in tourist numbers and a weaker Hong Kong dollar, CLSA believes WHARF REIC will be a primary beneficiary.

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