Goldman Sachs: CK Asset (01113) performance falls short of expectations, no special dividend promised or slightly negative, rated "neutral"

Goldman Sachs released a research report stating that the valuation of CK ASSET (01113) is not considered expensive. They maintained a "neutral" rating and revised Cheung Kong's earnings per share forecast for the next two years, keeping one unchanged and lowering the other by 2%. The target price is maintained at 53 Hong Kong dollars. They also prefer SHK PPT (00016), HENDERSON LAND (00012), and SINO LAND (00083), giving them a "buy" rating. The report pointed out that the group's performance in 2025 is below expectations mainly due to fewer property developments recognized in the second half of the year. Excluding the revaluation loss of 1.1 billion Hong Kong dollars on investment properties, the core profit is 12 billion Hong Kong dollars, an increase of 2% year-on-year, lower than the market consensus forecast of around 13 billion Hong Kong dollars, mainly due to the delayed completion of the Blue Coast project in Wong Chuk Hang, Hong Kong. Considering that some investors may expect Cheung Kong to return some of the sale proceeds through dividends or share buybacks, the lack of commitment from the management at the moment could be slightly negative.