HKEX’s 41 per cent rise this year is set to continue, investment bank says, joining positive calls by Goldman Sachs and HSBC
Morgan Stanley raised its target price for HKEX to HK$500 from HK$440 on Sunday, citing the operator’s strong year-to-date performance and higher investor confidence that the Chinese market is bottoming out.
HKEX has surged 41 per cent this year to close at HK$415.80 on Monday, as Morgan Stanley’s vote of confidence added to recent upgrades by Goldman Sachs and HSBC. The former raised its price target to HK$455 on May 30, while the latter advanced it to HK$438 on June 1.
A “shift from financial tightening to development” was expected to support Hong Kong’s trading and IPO volumes amid “loosening IPO requirements”, equity analysts including Richard Xu said in a note.
