Imagine if Arsenal were to write a report on Manchester United. In Hong Kong's banking scene, the nearest thing to that would be HSBC writing a report on its close local rival, Standard Chartered.
Well thanks to StanChart's recent Hong Kong listing, such a thing just came to pass yesterday Thursday.
As you would expect from two rivals, no punches were pulled. HSBC Securities initiated coverage on StanChart with a resounding 'sell' - and did so in a report called A compelling story without substance. StanChart's stock is currently trading at around HK$92.50 but HSBC has a price target of HK$65, suggesting the stock is 30% overvalued.