HK Stock Market Move | BRILLIANCE CHI(01114) rose by over 3% again, announced earlier to have a long-term dividend policy. Morgan Stanley expects its dividend yield to exceed 16% this year.

Brilliance China (01114) rose by over 3% again, reaching a 3.58% increase at the time of writing, at HK$3.76, with a trading volume of HK$60.8237 million. On the news front, Citigroup recently released a research report stating that Brilliance China revised its dividend policy, with a target of distributing not less than 50% of its after-tax profit for the relevant fiscal year, exceeding market expectations. Citigroup mentioned that it had expected Brilliance China's after-tax profit for this year to be 4 billion yuan. If calculated at a dividend payout ratio of 50% to 75%, the regular dividends paid next year are expected to range from 2 billion to 3 billion yuan, equivalent to a dividend yield of 12% to 18%. The firm believes that the stock price reaction will be overwhelmingly positive. Morgan Stanley's research report pointed out that after several rounds of special dividends in recent years, Brilliance China announced a long-awaited regular dividend policy, which is expected to have a positive impact on the stock price. The firm predicts Brilliance China's after-tax profit for this year to be 5.3 billion yuan, and based on the closing price of HK$3.5 on December 17th, it suggests that the company's dividend yield this year will exceed 16%.