GS 高盛：每日中国报告 09.06

China-Daily-Insights 09.06 12页

Today’s focus
China: Insurance: Insulated solid growth story with structural and cyclical drivers
Shangri-La (0069.HK): On-going pre-opening expense to weigh on EBITDA growth
ASM Pacific Technology (0522.HK): KLIC's upward revision of guidance is positive for ASM Pacific
China Resources Enterprise (0291.HK): 1H07 results: no major surprises; staying positive
China Communication Services (0552.HK): Robust revenue momentum offset by weakening margins
Xingda International (1899.HK): Weak 1H07 results; earnings recovery expected in 2H07; Buy
China Power International (2380.HK): 1H07 results much below expectations on coal costs and CB loss
Headline news
China Delays Hong Kong Stocks Program, Officials Say (Bloomberg)
Time to introduce rebates for tax groups (Xinhua)
Oil price hikes ruled out (China Daily)
China to adopt shipbuilding license system (China Daily)
China: Insurance: Insulated solid growth story with structural and cyclical drivers, Darwin Lam, CFA
• Insulated "solid/intact growth" story; affirm positive stance: We affirm our positive stance on the China insurance sector, which we see as an insulated (no direct exposure to US MBS/CDO/SIV; direct play on domestic China consumer/capital markets) “solid/intact growth” (with structural and cyclical drivers in place) story. The expansion of QDII could also help narrow the H/A-share insurance valuation gaps. We continue to prefer insurers to banks in the current rate hike environment in China. In a sweet spot of structural and cyclical drivers/catalysts Structural