HPH Trust

HPH Trust: JP Morgan upgraded HPHT to Overweight and raised TP to US$0.86 (from US$0.75). The upgrade reflects the anticipated tariff hikes in both Hong Kong and Yantian. HPH Trust has widely been viewed as ex-growth, hence the de-rating since its IPO. However, JPM sees re-rating potential on the back of stronger-than-expected 2014 volume growth in Yantian (+8% y/y), which appears to be sustainable from 2015 onwards, and tariff hikes which will have a substantial positive impact on HPH Trust's operational outlook.