Goldman Sachs: Upgrades Swire Properties (01997) rating to "Neutral," with increased dividend payout ratio driving revaluation.

According to the Zhiyuan Financial APP, Goldman Sachs has released a research report stating that the mid-term performance of Wheelock Properties (01997) reflects a significant shift in the management's capital allocation policy. The dividend payout ratio has been increased from 65% to 90%, with the forecast for earnings per share in fiscal year 2026 expected to rise by 43% year-on-year to HKD 1.89, which corresponds to an approximate dividend yield of 5.8%, comparable to Link REIT (00823)'s 6.4% and higher than most of its peers. The bank has upgraded Wheelock Properties' rating from "Sell" to "Neutral," raising the target price from HKD 28 to HKD 36, which implies about a 40% discount to the projected net asset value per share for fiscal year 2026.