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UBS Lowers SF Holding (06936.HK) TP to HKD39, Maintains 'Neutral' Rating
2026-04-01 15:24:23
UBS published a research report indicating that SF Holding (06936.HK) recorded a net profit of RMB2.8 billion in the fourth quarter of last year, representing a year-on-year increase of 10%, which is 10 percentage points higher than market expectations. The company raised the upper limit of its A-share buyback plan from RMB3 billion to RMB6 billion, with this year's quota set at RMB4.5 billion, and simultaneously initiated a HKD500 million H-share buyback plan. If the buyback quota is fully utilized and assuming a dividend payout ratio of 40% is maintained, the total shareholder return for this year is expected to reach up to 80%, compared to 55% last year, equivalent to a dividend yield of approximately 5%.

UBS slightly adjusted its earnings forecast for SF Holding, projecting a 10% revenue growth this year, with a reported net profit margin of 3.6% and a recurring net profit growth of 19%. The target price was lowered from HKD41.1 to HKD39, maintaining a 'Neutral' rating. (ec/w)~


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