Better-than-expected growth in profitability in FY18, a higher than forecast DPS and a favourable market outlook are clearly positive for China Water Affairs (CWA). We forecast continuing growth over the next few years and have raised our valuation to HK$10 per share. At that price, CWA would trade on a forward-looking P/E multiple of 13.1x, a c 15% discount to our group of selected peers.
04 Jul 2018
China Water Affairs Group - FY18 exceeds forecasts
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China Water Affairs Group - FY18 exceeds forecasts
China Water Affairs Group Limited (855:HKG) | 0 0 0.0%
- Published:
04 Jul 2018 -
Author:
Graeme Moyse -
Pages:
3
Better-than-expected growth in profitability in FY18, a higher than forecast DPS and a favourable market outlook are clearly positive for China Water Affairs (CWA). We forecast continuing growth over the next few years and have raised our valuation to HK$10 per share. At that price, CWA would trade on a forward-looking P/E multiple of 13.1x, a c 15% discount to our group of selected peers.