Goldman Sachs Downgrades TIMES ELECTRIC to "Neutral," Raises Target Price to HK$43.9

Stock News
02/27

Goldman Sachs has issued a research report adjusting its rating on TIMES ELECTRIC (03898) H-shares from "Buy" to "Neutral," citing valuation considerations. The firm also removed a 20% holding company discount, resulting in an increased target price from HK$35.1 to HK$43.9. According to Goldman Sachs, TIMES ELECTRIC's current valuation is reasonable, as its share price has risen 18% year-to-date and the stock is now trading at 11 times the projected 2026 price-to-earnings ratio. Earnings per share are expected to grow at a compound annual growth rate of 7% between 2026 and 2030. Following the market close on February 6, TIMES ELECTRIC released preliminary 2025 financial results that aligned with expectations. Revenue for 2025 reached RMB 28.761 billion, while net profit stood at RMB 4.105 billion, reflecting year-on-year increases of 15% and 11%, respectively. These figures were 1% below and 3% above the bank's forecasts.

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