德意志银行-xx天然气-china gas utilities：upgrading kunlun towngas to buy,downgrading china gas to hold-20170719-deutschebank.pdfVIP

Deutsche Bank Markets Research Asia Industry Date China China Gas Utilities 19 July 2017 Utilities Utilities Recommendation Change Hanyu Zhang Michael Tong, CFA Upgrading Kunlun/Towngas to Buy, Research Associate Research Analyst (+852 ) 2203 6207 (+852 ) 2203 6167 downgrading China Gas to Hold hanyu.zhang@ michael.tong@ Focus on laggards: BEHL, Towngas, and Kunlun Key Changes Sustained volume recovery, policy clarity and positive read-across from the Company Target Price Rating FY17 (Mar yearend) results from China Gas have boosted the gas utilities by 2688.HK 49.80 to - 15-43% in the past month. We are now more positive about the outlook for 60.10(HKD) volumes and margins in both near and medium term and therefore raise 1193.HK 26.00 to - earnings for 2017-19E and lift TPs by 21-35%. At the same time, we do not 31.60(HKD) expect many surprises from interim results and believe that any further rerating 1083.HK 4.60