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<Research>HTSC Adds CHINA RAILWAY (00390.HK) TP to $5.34, Rating Overweight
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Positive
23
Negative
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CHINA RAILWAY (00390.HK)'s 1Q25 net profit fell 19.46% YoY, below Huatai Securities' expectation, mainly due to slower-than-expected revenue growth caused by a slower-than-ever resumption of work in the industry during the period, as well as higher finance costs on rising interest-bearing debt, which further dented profit, according to Huatai Securities' research report.

Therefore, the broker maintained its 2025-2027 net profit forecasts for CHINA RAILWAY at RMB26.1 billion/ RMB26.6 billion/ RMB27.5 billion, and added its target price on CHINA RAILWAY's H-shares from $5.14 to $5.34, with rating kept at Overweight.
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