Zhi Tong Cai Jing·2026-03-02 08:02Core Viewpoint - Morgan Stanley's report indicates that Galaxy Entertainment (00027) reported better-than-expected quarterly results, with market share increasing by 160 basis points to 21.7% and profits expanding by 29% quarter-on-quarter [1] Group 1: Financial Performance - The full-year results for the period ending December showed a strong performance, with the final quarter exceeding market expectations [1] - The final dividend of HKD 0.8 per share implies a payout ratio of 61% for the fiscal year 2025, which is considered robust and aligns with Morgan Stanley's expectations [1] - The total dividend for fiscal year 2025 is projected to reach HKD 1.5 per share, although some bullish investors expressed disappointment over the dividend increase [1] Group 2: Market Sentiment and Future Outlook - Morgan Stanley maintains an "Overweight" rating on Galaxy Entertainment, viewing it as a preferred stock with a target price of HKD 52, while holding a selective outlook on the sector [1] - There were no particularly negative factors identified in the earnings report, but some investors had anticipated a larger increase in dividends [1] - Future dividend increases are expected, with potential positive news anticipated during the mid-year results announcement for fiscal year 2026 in August [1]