Xin Lang Cai Jing·2025-12-04 10:25Core Viewpoint - Everbright Securities International indicates that the Hang Seng Index (HSI) is currently around 25,700 points, close to the company's target of 25,000 points for the full year of 2025, and believes there is a chance for the Hong Kong stock market to exceed 30,000 points next year [1] Group 1: Market Outlook - The company highlights four key sectors to watch: Chinese financials, smart technology, energy and non-ferrous metals, and local finance [1] - The product development and retail research department anticipates that major central banks will maintain accommodative policies in the first half of 2026 to stabilize the economy [1] - Despite record days of U.S. government shutdown and tariff policies impacting market sentiment in the short term, a potential interest rate cut in the U.S. in the first half of next year could support capital flows into emerging markets, benefiting both mainland and Hong Kong stock markets [1] Group 2: Valuation Insights - The securities strategist notes that after a rebound in 2025, the current HSI price-to-earnings ratio is above the average of the past five years, deviating upwards by about one standard deviation, indicating a repair in overall valuation but still within a reasonable range [1] - The technology index has just returned to its five-year average, suggesting that there is still room for valuation catch-up [1] - The overall market's dividend environment shows that the HSI dividend yield and the high-yield index dividend yield have both fallen to around 3% and 6% respectively, but remain attractive relative to the current interest rate environment in mainland China [1]