Hong Kong exchange operator’s share surge to continue amid IPO wave, Morgan Stanley says
HKEX’s 41 per cent rise this year is set to continue, investment bank says, joining positive calls by Goldman Sachs and HSBC

Morgan Stanley raised its target price for HKEX to HK$500 from HK$440 on Sunday, citing the operator’s strong year-to-date performance and higher investor confidence that the Chinese market is bottoming out.
HKEX has surged 41 per cent this year to close at HK$415.80 on Monday, as Morgan Stanley’s vote of confidence added to recent upgrades by Goldman Sachs and HSBC. The former raised its price target to HK$455 on May 30, while the latter advanced it to HK$438 on June 1.
A “shift from financial tightening to development” was expected to support Hong Kong’s trading and IPO volumes amid “loosening IPO requirements”, equity analysts including Richard Xu said in a note.