Morgan Stanley maintains ICBC's target price of HK $5.25

Source: Internet
Author: User
Keywords Banks loans Hong Kong dollars spreads
Morgan Stanley said that while the short-term net spreads were negative, strong liquidity was expected to spur good loan growth and ease the pressure on asset quality.  Balance risk and return, CCB <00939.HK> and ICBC <01398.HK> are the core holders, because the large banks are benefiting from the mainland government's stimulus policy, the proportion of discounted bills in new loans is relatively low, the net interest spreads are better and the dividend rate is higher. Morgan Stanley raised the 2009-2011 average 1-3% and target price by 19%. ICBC's target price rose from HK $4.65 to HK $5.25 to maintain an "overweight" rating.
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