Citi: Maintains "Buy" rating on Chow Tai Fook Creation (00659.HK) with a target price of HK$10.4

Citi released a research report stating that Chow Tai Fook Creation (00659.HK) recently announced the sale of operating rights to 3 toll road assets for a total consideration of RMB 1.9794 billion. The bank maintains its "Buy" rating with a target price of HK$10.4, and the company's expected dividend yield is 6.9%. The transaction represents approximately 10x historical P/E, higher than the average valuation of about 9x for comparable listed toll road companies, reflecting the high quality of the assets.