CK ASSET(HK:01113) Zhi Tong Cai Jing·2025-10-08 05:54Core Viewpoint - UBS has upgraded the investment rating of Cheung Kong Holdings (01113) from "Neutral" to "Buy" based on attractive risk-reward dynamics, raising the target price from HKD 31 to HKD 42.9, although it has lowered the earnings forecast for 2025 to 2027 by 18% to 24% due to the latest development progress [1] Group 1: Investment Rating and Target Price - UBS upgraded Cheung Kong Holdings' investment rating from "Neutral" to "Buy" [1] - The target price was increased from HKD 31 to HKD 42.9 [1] Group 2: Earnings Forecast Adjustment - UBS has adjusted the earnings forecast for 2025 to 2027 downwards by 18% to 24% based on the latest development progress [1] Group 3: Valuation and Catalysts - Despite a 24% increase in the stock price year-to-date, Cheung Kong Holdings remains the lowest valued among major developers [1] - Several catalysts for value release are identified, including the acquisition of local distressed commercial real estate (CRE) assets, ongoing improvement in the profitability of Hong Kong hotel operations, redevelopment of student dormitories, sale of UK railway assets, and potential foreign exchange gains from US interest rate cuts [1] - Potential share buybacks could also support the stock price [1]