According to a report by Lyon, CKH Holdings (00001.HK) is expected to see year-on-year growth in profit in the first half of the year. During this period, energy prices in Europe and the United Kingdom fell while Watson's business brought steady income. After revising its operating surplus and financial cost forecasts, the profit forecast for this year was lowered by 3% and increased by 3% for the following year.

The bank pointed out that CKH's current price is discounted by 54% compared to its net asset value per share, with improving risk-return profile and potential catalysts such as potential divestments likely to take time. The current price reflects an annual dividend yield of 6.4% to 7.2% from 2021 to 2026. The target price is lowered from HKD 58 to HKD 57 and maintains an 'outperform' rating.