Tight US-Iranian relations have deepened the market ’s expectations of the US Federal Reserve ’s interest rate cuts, meaning that Hong Kong ’s low interest rate environment will continue for a long period of time, and HSBC (005) with a dividend yield of more than 6% has certain attractiveness
Announcing the plan for the next stage of restructuring and reform. Once a surprise appears, it will help support the rise of the holding price of the exchange, so it can be bought downstairs for 60 yuan to receive interest.
The ruling Conservative Party of the United Kingdom has won in the recent elections, which has pushed the concept stocks in Britain to rise sharply. Among them, HSBC regained the 60 yuan mark. If it can stabilize the water level, it is expected to rise further.
In addition, HSBC recently announced a new round of personnel changes. When the Group announces its full-year results in February this year, it will announce plans for the next phase of restructuring and reform. There are big surprises and surprises. In addition, HSBC has signs of turning around, which is worth paying attention to.
Interest rate of 6% is attractive
Goldman Sachs expects that HSBC will announce its full-year results on February 18 and will announce business updates on the same day. It is expected that it will focus on improving the performance of non-segregated banks in the United States and the United States. Related businesses will account for one-third of HSBC’s assets. In the first three quarters, the profit contribution accounted for only 2%.
The bank stated that if the business update mentions improving the effectiveness of the related business, or reducing its size, it is believed to help increase tangible equity returns and additional capital, the latter is more likely to be used for a new round of share repurchases or to invest in Asia and emerging markets For growth opportunities, we reiterate HSBC’s “Buy” rating with a target price of $ 75.
Bank of America is also bullish on HSBC, raising its investment rating from the original “Neutral” to “Buy”. Based on the recent exchange rate trend, the target price is raised from 65.32 yuan to 66.95 yuan. HSBC closed at 59.3 yuan yesterday, down 1%.
Material short line 250 antenna
Deng Shengxing, co-founder and chief executive officer of Ruisheng Securities, said that the uncertainties in Hong Kong and the peripheral economy are increasing. HSBC’s revenue growth prospects are relatively weak. The future pressure will come from the impact of interest rate environment on income, especially in the case of low interest rates, which will affect the performance of interest margins. ROE is still under pressure.
The market estimates that HSBC may further announce details such as the reorganization plan at the time of its full-year results. The reorganization plan may involve further reductions in manpower and closure of low-return departments, which is expected to improve operating costs.