Xiaomo: Maintaining HSBC Holdings (00005), Standard Chartered Group (02888) and BOCHK (02388) “Gain” ratings in the third quarter is more optimistic about BOCHK

The Zhitong Finance App learned that J.P. Morgan Chase released a research report stating that it maintains the “gain” ratings of HSBC Holdings (00005), Standard Chartered Group (02888), and Bank of China Hong Kong (02388). The target prices are HK$205, HK$310 and HK$53.3, respectively. The bank maintains a positive view of the fundamentals of HSBC Holdings and Standard Chartered Group, believing that the two banks' stock prices have declined too much. As far as the third quarter results period is concerned, the bank is relatively optimistic about BOCHK, while it is more favored by Standard Chartered in the next 12 months.

J.P. Morgan pointed out that although the market has some concerns about bond investment valuation losses, growth risks, and the sustainability of wealth management income, overall market sentiment is not unduly undervalued.

The Bank of China expects strong profit growth in Hong Kong, and the common equity Tier 1 capital adequacy ratio (CET1) is as high as 23.8%, making the impact of bond valuation losses on capital more manageable. However, looking ahead to the next 12 months, the bank favors Standard Chartered Group, believing that its profit growth and return on equity expansion trends are ideal.