Covid-19 impact: Asia's stock analysts are lifting price targets again

Fears of a second wave of coronavirus infections and renewed geopolitical tensions haven’t stopped Asia’s sell-side community from adding more optimism to their stock projections. 

Analysts have been revising their 12-month price targets higher for members in the MSCI Asia Pacific Index since early June, boosting the gauge’s aggregate forecast to its highest since April. 

At present, the 12-month price target is at 175.5, implying a 10 per cent upside from current levels. The index currently hovers around 160. The current 12-month target is on an uptick following a slide of over 10 per cent from March level of 193. 

The increased targets come amid a steadier outlook for Asian earnings, with profit estimates for stocks in the region’s benchmark showing signs of stabilisation for the first time since the coronavirus became a global pandemic in March.