The Zhitong Finance App learned that Pacific Shipping (02343) is now down more than 5%. As of press release, it is down 5.65% to HK$2.34, with a turnover of HK$485.906 million.
According to the news, Yamato published a research report saying that Pacific Shipping's Equal Lease Agreement (TCE) fell 42% year on year, dragging down the annual core profit of 83% year over year to US$119 million. Among them, core profit for the second half of last year fell 44% to US$43 million compared to the first half of the year, lower than the forecast, mainly due to the decline in TCE for small portable ships. Yamato said he is optimistic about Pacific Shipping's short-term prospects, pointing out that management expects the market environment to escape the impact of supply issues in the short term, and that current TCE prices are expected to recover.
Morgan Stanley released a research report stating that it maintained Pacific Shipping's “gain” rating and lowered earnings forecasts per share by 18% and 14% for 2024 and 2025, mainly due to a 7% and 5% reduction in rate forecasts for ultra-portable bulk carriers and convenient bulk carriers, respectively, and a 1% reduction in the target price from HK$3 to HK$2.96.