BofA Securities: Raises Lee & Man Paper (02314.HK) target price to 3.2 Hong Kong dollars, reaffirms "buy" rating.

According to the Zhixun Finance and Economics APP, Bank of America Securities released a research report stating that Lee & Man Paper Manufacturing (02314.HK) recorded a 7% year-on-year increase in net profit after tax in the first half of the year, reaching 811 million Hong Kong dollars, which is 56% higher than the bank's full-year expectations. The company announced an interim dividend of 0.066 Hong Kong dollars, with a dividend payout ratio of 35% in line with historical levels. Based on better-than-expected profit margins in the first half of the year, the bank has raised Lee & Man Paper's profit forecasts for the current year and the next year by 16% and 3% respectively, reflecting faster-than-expected profit recovery; the target price has been raised from 2.7 Hong Kong dollars to 3.2 Hong Kong dollars, with a reiterated "buy" rating.