CK Hutchison's Broad Portfolio Provides Sector and Geographic Diversification

Conglomerate CK Hutchison Holdings, or CKH, is expected to continue to focus on acquisitions, spinoffs and cost containment in order to raise its profit. We think efforts to improve customer retention at its drugstore chain Watsons, and the tweaks in its telecom activities will help drive profit on our view that activities are normalizing postpandemic. The steps toward recovery from the pandemic in China and Hong Kong should help short-term growth.