UBS: Downgrade Qingdao Port (06198) rating to "neutral", slightly lower target price to 7.4 Hong Kong dollars.

According to the China Securities News app, UBS released a research report stating that the stock price of Qingdao Port (06198) has rebounded by about 24% since the end of April, due to reasons including stable port throughput performance (partly due to advance shipments due to the US-China trade dispute) and temporary easing of the trade dispute. However, the bank believes that since the last profit revision, the fundamentals of Qingdao Port have not changed, with both the US and China significantly lowering their mutual tariff rates and agreeing to continue negotiations. The bank believes that after the rise in Qingdao Port's stock price, the valuation is no longer attractive, so the rating has been downgraded from "buy" to "neutral." The bank has slightly lowered the 12-month target price based on the sum of the parts (SOTP) of Qingdao Port, from 7.50 Hong Kong dollars to 7.4 Hong Kong dollars.