JP Morgan: Maintains "Overweight" rating on HKEX (00388) with a target price of HKD 520.

Morgan Stanley published a research report stating that HKEX (00388) maintained an overall operating profit margin of approximately 75% during the period. Earnings per share were HKD 4.26, with a quarterly increase of 4% and a year-on-year increase of 21%, supporting an upward revision and re-evaluation of forecasts. The bank maintained an "Overweight" rating for the Hong Kong Stock Exchange, with a target price of HKD 520. The pure profit for the second quarter of HKEX was HKD 5.4 billion, with a quarterly increase of 4% and a year-on-year increase of 21%, exceeding the bank's expectations by 4%. This was mainly due to revenue being supported by rising transaction fees. Listing fees also maintained momentum, increasing by 24% year-on-year. Net investment income rose quarter-on-quarter, partly due to one-time valuation changes in non-listed equity investments. Costs were in line with expectations, with operating expenses increasing by 4% quarter-on-quarter.