HSBC holdings "neutral"

08/01/03 - J.P. Morgan Securities

NEW YORK, August 01 (New Ratings) - Analysts at JP Morgan Securities reiterate their "neutral" rating on HSBC Holdings (HK).

In a research note published this afternoon, the analysts mention that the company is likely to be benefited by the improving prospects of the consumer finance sector in the US. Cost and operating synergies from the integration of Household is expected to boost HSBC Holdings’ performance, the analysts believe. The company’s share price has increased significantly in the past few quarters on account of an appreciating Sterling and an economic recovery in Hong Kong after the end of the SARS scare, the analsyst say.