Bank of America Securities: Lowering the target price of Wanzhou International (00288) to HK$9.6 to reaffirm the “buy” rating

The Zhitong Finance App learned that Bank of America Securities released a research report saying that it is expected that Wanzhou International (00288)'s dividend for the 2026 fiscal year will remain at HK$0.61 year-on-year, and the dividend rate for this year is expected to be about 7.7%. In addition to potential special dividends, it reaffirms the company's “buy” rating, and the target price was lowered from HK$11.5 to HK$9.6. The company's operating profit for the second quarter fell 11.3% year on year, lower than expected. Net profit increased 4.1% year on year, which is in line with expectations. Looking ahead, the bank expects Wanzhou's business in China to stabilize, but the US business will be under pressure (especially in the fourth quarter). The bank lowered the company's earnings estimates for FY2026 and FY27 by 10% and 9%, and prudently estimated that the company's earnings per share for FY2026 would drop 5%.