Goldman Downgrades Hong Kong-Traded China Stocks, Raises India
- Onshore China stocks are better exposed to strategic themes
- India to have best structural growth prospects in the region
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Goldman Sachs Group Inc. lowered its recommendation on Chinese stocks listed in Hong Kong due to modest earnings growth, while maintaining a bullish view for shares traded on the mainland.
China’s industry is going through a rebalancing toward “areas of higher productivity and greater self-sufficiency,” which includes technology theme such as artificial intelligence, strategists including Timothy Moe wrote in a note. These opportunities “are more widely present in the onshore market,” they added.