Chinasoft International Ltd (CFTLF)

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Hong Kong stocks move | China Software International (0354.HK) soars more than 11%, Goldman Sachs sings more.

source
https://cj.sina.com.cn/articles/view/5115326071/130e5ae7702001ebo4

July 05, 2021 10:52 Gelonghui

China Software International (0354.HK) surged more than 11% on July 5th to HK$14.48. It wants to challenge the historical high of HK$14.74 set last week, with the latest total market value of HK$42.1 billion.

Goldman Sachs released the latest research report, optimistic about the integration trend of China's software international overall solution, Hongmeng operating system and IT service market. The bank predicts that the revenue concentration risk of a single customer (Huawei) will be further reduced. Based on the 12-month rolling price-earnings ratio, the target price is increased to 21.81 Hong Kong dollars.

In addition, based on the EPS of 20 times 2025E, it is discounted back to 2022E through a constant COE of 9%. In summary, the bank upgraded its investment rating to recommended buy.