Citi initially gave COSCO International (0517.HK) a buying rating of HK$6.3; this means that according to net cash holdings per share, it reached HK$4.2 (about 90% of the stock price). Excluding cash value, the price-earnings ratio of its core shipping service in 2011 was only 3 times, and it had a capital injection concept.

Citi estimates that COSCO International's 10-year profit could reach HK$1,184 million, mainly supported by the real estate business and sale of shares in Ocean Real Estate (3377.HK). Core profit increased 16% to HK$284 million, and special interest may be distributed.

COSCO International announced its results on March 24; the stock fell 0.21% yesterday to close at HK$4.79.