- Hong Kong Exchanges and Clearing Limited (HKEX) reported a net income for the fiscal year amounting to HK$13.05 billion.
- The net income closely aligned with the market estimate of HK$12.95 billion.
- HKEX‘s revenue and other income totalled HK$22.37 billion, slightly exceeding the estimated HK$22.28 billion.
- Earnings before interest, taxes, depreciation, and amortization (EBITDA) reached HK$16.28 billion, surpassing the expected HK$16.2 billion.
- A second interim dividend per share is declared at HK$4.90.
- Analyst sentiment toward HKEX is positive, with 26 buy ratings and 2 hold ratings, and no sell ratings.
HKEX on Smartkarma
Analyst coverage of HKEX on Smartkarma reveals diverse sentiments from renowned analysts. According to Travis Lundy, in the report titled “HK Connect SOUTHBOUND Flows,” the focus remains on positive flows, particularly for Alibaba, while other tech giants like Kuaioshou and Tencent face negative trends. Notably, recent developments in China, including the “Bazooka,” have led to significant market movements, although discerning the impact of these numbers requires closer examination.
In contrast, Steven Holden‘s analysis titled “HK Exchanges: Position Cuts Deepen Among Asia Ex-Japan Funds” paints a more cautious picture. Recent position closures by major funds such as Allianz and T Rowe Price have resulted in a substantial exit of historical investors from Hong Kong Exchanges & Clearing. This trend highlights a shift in sentiment among Asia Ex-Japan fund managers who have been reducing their exposure to the stock since early 2023, signaling potential challenges ahead.
A look at HKEX Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 5 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.4 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Hong Kong Exchanges & Clearing Limited (HKEX) seems to have a positive long-term outlook. The company scored well in growth, resilience, and momentum, with scores of 4 and 5, indicating strong performance in these areas. This suggests that HKEX is well-positioned to capitalize on future opportunities and navigate through challenges.
Although HKEX received lower scores in value and dividend, with scores of 2, the overall outlook remains favorable. As the owner and operator of the stock exchange and futures exchange in Hong Kong, HKEX plays a vital role in providing trading platforms for a variety of financial products. This positions the company as a key player in the market, with ample room for growth and sustainable performance over the long term.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
