Goldman Sachs believes that Hang Lung Properties has the ability to benefit from the long-term growth of China's middle class's consumption of luxury goods.
According to the latest interest rate expectations, Goldman Sachs slightly raised its earnings per share forecast for Wharf Holdings (00019) for the fiscal years 2024 to 2026 by less than 1%. The group is optimistic about the overall performance of Wharf Holdings and has the ability to take advantage of the opportunities in Hong Kong and mainland China's retail and aviation businesses. Compared with its peers, it is more willing to reward shareholders through buybacks and special dividends. The target price is HK$78 with a "buy" rating.
Considering the latest housing and rental prices, Goldman Sachs slightly adjusted its earnings per share forecast for the fiscal years 2024 to 2026 of Hang Lung Properties (00101) by less than 1%. It believes that Hang Lung Properties is one of the few property companies with a good performance record in operating luxury shopping centers in mainland China. In the medium term, the company has more ability to benefit from the long-term growth of China's middle class's consumption of luxury goods. The target price is HK$13.6 with a "buy" rating. In addition, Goldman Sachs slightly adjusted its earnings per share forecast for Hysan Development (00014) by less than 1%, giving a target price of HK$15.1 with a "neutral" rating.