Goldman Sachs: Raise BOC Hong Kong (02388) target price to HK$31.9 to maintain “buy” rating

The Zhitong Finance App learned that Goldman Sachs released a research report saying that Bank of China Hong Kong (02388)'s operating profit for the fourth quarter of last year was HK$10.6 billion, up 21% year on year, 10% higher and 9% lower than market and bank expectations, respectively. After accounting for the fourth quarter results, the bank raised its earnings per share forecast for the 2025 and 2026 fiscal years by 8% and 19%, respectively, and set the earnings forecast per share for the 2027 fiscal year to HK$4. The target price was raised from HK$28 to HK$31.9. The “buy” rating is maintained, and the stock price is expected to respond positively after the results are announced due to higher net interest spreads than expected and the planned quarterly dividend to be paid starting this year.