UBS Group forecasts China United Network Communications to earn RMB 0.67 and RMB 0.73 per share in the next two years.
According to the Zhitong Finance APP, UBS Group released a research report stating that it maintains a target price of 8 Hong Kong dollars and a "buy" investment rating for China United Network Communications (00762). The earnings per share forecast for the next two years is RMB 0.67 and RMB 0.73, with a slight decrease in the 2026 earnings forecast from RMB 0.81 to RMB 0.79 per share.
The bank pointed out that China United Network Communications' service revenue in the third quarter increased by 2% year-on-year, meeting expectations. The net profit growth for the first 9 months was 10.3%, also in line with the guidance for double-digit growth for the full year. In addition, the datacenter revenue in the third quarter increased by 11.1% year-on-year, higher than the 4.6% in the first half of the year, reflecting the continued recovery of the datacenter industry. However, the revenue growth of Unicom Cloud was 8.6% year-on-year, lower than the 24.3% in the first half of the year.