Citigroup raised Kerry Logistics Group's profit forecast for 2024 and 25 by 29%.
The Zhitong Finance App learned that Citi released a research report stating that it maintained Kerry Logistics's (00636) “buy” rating, raised the Group's profit forecast for 2024 and 25 by 29%, and raised the target price from HK$8.42 to HK$10.5. The company's profit last year was better than expected, driven by a gradual improvement in freight rates in the second half of the year.
According to the report, Kerry Logistics management believes that although freight rates have declined recently, ocean freight rates should improve year on year after bottoming out in the first half of the year, and the integrated logistics business may grow moderately, driven by more projects in Hong Kong. Due to better freight prospects, the profit of the international freight forwarding business may improve significantly this year.