Goldman Sachs: Further raises target price for MSCI Asia-Pacific Index, maintains "Overweight" rating for Chinese stock market
Goldman Sachs has again raised its forecast for Asian stock markets, increasing the 12-month target for the MSCI Asia Pacific (excluding Japan) Index from 700 points to 710 points, due to clearer tariffs and expectations of a rate cut by the Federal Reserve in September. Just three weeks ago, Goldman Sachs raised its forecast for the MSCI Asia Pacific (excluding Japan) Index by nearly 3%, from 680 points to 700 points. Goldman Sachs stated that there are still ample alpha (outperforming the market) investment opportunities in Chinese stocks, and based on the currently limited earnings forecasts, it is optimistic about more earnings reports exceeding expectations in the second quarter of this year, with brokerage stocks having the highest likelihood of positive surprises. It is expected that 57% of overall Chinese stock earnings will exceed expectations, while only 29% will fall short; the MSCI China Index is expected to see a year-on-year earnings growth of 9% in the second quarter. Additionally, Goldman Sachs maintains an "overweight" rating on China, Japan, South Korea, and certain cyclical stocks
According to the Zhitong Finance APP, Goldman Sachs has raised its forecast for Asian stock markets again, increasing the 12-month target for the MSCI Asia Pacific (excluding Japan) index from 700 points to 710 points, due to clarity on tariffs and expectations of a rate cut by the Federal Reserve in September. Just three weeks ago, Goldman Sachs raised its forecast for the MSCI Asia Pacific (excluding Japan) index by nearly 3%, from 680 points to 700 points.
Goldman Sachs stated that there are still ample alpha (outperforming the market) investment opportunities in Chinese stocks, and based on the currently limited earnings forecasts, it is optimistic about more earnings reports exceeding expectations in the second quarter of this year, with brokerage stocks having the highest likelihood of positive surprises. It is expected that 57% of overall Chinese stock earnings will exceed expectations, while only 29% will fall short; the MSCI China index's earnings are expected to grow by 9% year-on-year in the second quarter.
Additionally, Goldman Sachs maintains an "overweight" rating on China, Japan, South Korea, and some cyclical stocks
