STOCK analysts in Hongkong continue to be bullish about the prospects for earnings at most local companies, according to the July issue of The Estimate Directory.
It showed that in June more analysts upgraded their 1993 net profit forecasts for Hongkong companies than those who downgraded their forecasts for the period.
Upgrades outnumbered downgrades by 129 to 91. The total number of adjustments was down 11.3 per cent.
Companies under the upgrade spotlight were mainly in the property sector.
Hutchison Whampoa benefited from positive sentiment towards its earnings outlook, while a new round of downgrades of net profit in 1993 for Cathay Pacific, adding to those made during poor sentiment in the spring, depressed the earnings outlook for parent company Swire Pacific.
June was the fourth consecutive month in which there were more upgrades than downgrades. However, the margin closed. There were 40 per cent more upgrades last month than downgrades, while in May there were 80 per cent more upgrades than downgrades.