Core Viewpoint - UBS forecasts that Far East Horizon (03360) will see an 8% increase in profit and a 6% increase in earnings per share this year, raising the target price from HKD 8.8 to HKD 9.1, with a target price-to-book ratio of 0.72 and a forecast dividend yield of 6.5% [1] Group 1: Financial Performance - The management expects the core financial leasing business to remain stable, prioritizing financial stability over growth [1] - The company anticipates a rebound in profit growth to high single digits this year, supported by moderate loan growth and a faster decline in financing costs, which will help improve the loan spread for non-SME loans [1] - The contribution from SMEs is expected to enhance asset return rates, alongside the low base effect from subsidiary Hongxin Jianfa (09930) [1] Group 2: Shareholder Returns - The management reiterated a gradual dividend policy but did not specify a target payout ratio [1] - There is potential for the current unusually high effective tax rate of 50% to return to a more normal level, which could positively impact profitability [1]
瑞银：上调对远东宏信目标价至9.1港元 评级“买入”