Brokers' take

Hutchison Port Holdings Trust | Hold

Feb 9 close: US$0.685

Target price: US$0.68

OCBC Investment Research, Feb 9

HPHT swung to a Q4 2014 loss mainly due to a HK$19 billion (S$3.3 billion) impairment charge. FY 2014 distribution per unit is 41 HK cents, but management has guided for FY 2015 DPU to dip to 33-36 HK cents, below the consensus of 38.6 HK cents.

While the impairment is a non-cash item and will not affect the trust's cash flow generation and debt servicing ability, we note that unitholder's NAV per unit has dipped significantly from HK$7.26 (end-FY2013) to HK$4.86 (end-FY2014), and believe th…