Research | China Property

(2103.HK) Sinic
Oct 4, 2021
Discontinuation of Coverage
(230.HK) Minmetals Land Limited
Sep 2, 2021
Growth Accelerates on the Back of 2020 Asset Injection
(0095.HK) LVGEM (China) Real Estate Investment Company Limited
Sep 2, 2021
Making Progress on Baishizhou Project Phase 1
(1996.HK) Redsun Properties Group Limited
Sep 2, 2021
Solid 1H21 Performance, On Track to Beat Sales Target
(3662.HK) Aoyuan Healthy Life Group
Aug 27, 2021
M&A Drives Growth to Beat Expectations, Reiterate Buy
(3883.HK) China Aoyuan Group
Aug 27, 2021
Slower Growth Ahead as Deleveraging Takes Priority
(1922.HK) Yincheng Life Service
Aug 27, 2021
Strength in Organic Expansion Underpinning Diversified Growth
(0123.HK) Yuexiu Property
Aug 23, 2021
Growth on Solid Foundations of Strong Balance Sheet and GBA
(0382.HK) Edvantage Group
Aug 23, 2021
3Q Earnings Boosted by Sichuan Colleges, Vocational Businesses
(0832.HK) Central China Real Estate Limited
Aug 23, 2021
Undervalued Amid Market Concerns, Reiterate Buy
(9983.HK) Central China New Life Limited
Aug 23, 2021
Rise in Third-Party Projects to Underpin Future Growth
(9993.HK) Radiance Holdings
Aug 23, 2021
Solid 1H21 All-Round Performance, Maintain Buy
(0405.HK) Yuexiu REIT
Aug 11, 2021
Recovery On Track, Interest Savings to Drive 2H21E Growth
(35.HK) Far East Consortium
Jun 29 2021
Riding on the Tide of COVID-19 Macro Recovery
(35.HK) Far East Consortium
Jun 18 2021
Another Major Milestone On the Road to COVID-19 Recovery
China Property
May 24, 2021
China Developers’ Evolution into Conglomerates: 2021-2025
(832.HK) Central China Real Estate Limited
May 14, 2021
Post Spin-Off Trading offers Buying Opportunity
(35.HK) Far East Consortium
May 11 2021
UK Economy Reopening will Boost Property Sales
(0382.HK) Edvantage Group Holdings Limited
Apr 22, 2021
Growth on Track, Entering the M&A Harvest
(0095.HK) LVGEM (China) Real Estate Investment Company Limited
Apr 9, 2021
All Eyes on Baishizhou as Phase 1 Starts Construction
(832.HK) Central China Real Estate Limited
Apr 9, 2021
A New CEO, A New Dawn
(1996.HK) Redsun Properties Group Limited
Apr 9, 2021
Recapitalised Balance Sheet, Steady Growth Ahead
(3883.HK) China Aoyuan Group
Apr 1, 2021
Solid and Steady, Dividend Surprise
(3662.HK) Aoyuan Healthy Life Group
Apr 1, 2021
All-Stars Aligned - Valuation, Results, Growth Outlook
(9983.HK) Central China New Life Limited
Mar 31, 2021
Property Management 2.0 – The Digital Era
(230.HK) Minmetals Land Limited
Mar 30, 2021
Consolidating for a Brighter Future
(0405.HK) Yuexiu REIT
Mar 5, 2021
The Comeback Kid, Reiterate Buy
(1238.HK) Powerlong Real Estate Holdings Limited
Mar 4, 2021
Solid All Round Execution, Reiterate Buy
(0405.HK) Yuexiu REIT
Feb 16, 2021
A Great Turnaround Story of 2021, Initiate with Buy
(0382.HK) Edvantage Group Holdings Limited
Jan 25, 2021
Fundamental Growth drives Stock Outperformance, Reiterate Buy
(35.HK) Far East Consortium
Jan 19, 2021
Recovery has just begun, More Legs to Run, Reiterate Buy
At the Forefront of China Property
Dec 31, 2020
Opportunities emerging in Property Management Sector
(35.HK) Far East Consortium
Nov 27, 2020
Emerging from the Eye of the Storm, Maintain Buy
At the Forefront of China Property
Nov 27, 2020
Fully Recovered From COVID-19, Back to the New Normal
(0095.HK) LVGEM (China) Real Estate Investment Company Limited
Nov 11, 2020
Latest Market Transaction Underpins HK NEO Asset Value
(832.HK) Central China Real Estate Limited
Nov 11, 2020
Asset-light Business Spin-off to Unlock 64% Valuation
At the Forefront of China Property
Sep 29, 2020
A Solid Macro Economy Recovery
(3662.HK) Aoyuan Healthy Life Group
Sep 22, 2020
Dual Engine To Propel Long Term Growth
(9983.HK) Central China New Life Limited
Aug 31, 2020
Geographical Focus to Drive Outperformance
(1996.HK) Redsun Properties Group Limited
Aug 28, 2020
A Year of Harvest, Maintain Buy
(832.HK) Central China Real Estate Limited
Aug 27, 2020
Solid 1H20 Results, Earnings Growth On Track
(0095.HK) LVGEM (China) Real Estate Investment Company Limited
Aug 26, 2020
Asset Injection Propels Stock to New Heights, Upgrade to Buy
(0095.HK) LVGEM (China) Real Estate Investment Company Limited
Aug 24, 2020
All Eyes On Baishizhou 2H20 Potential Asset Injection
(1238.HK) Powerlong Real Estate Holdings Limited
Aug 20, 2020
Strong 1H20 results sets the stage for a share price rally, Reiterate Buy
(DUO.US) Fangdd Network Group
Aug 18, 2020
A Mispriced SaaS company with Valuation Re-rating Potential
(3662.HK) Aoyuan Healthy Life Group
Aug 18, 2020
Post-Acquisition Integration to be 2H20 Key Catalyst
(3883.HK) China Aoyuan Group
Aug 18, 2020
Solid 1H20 Results Despite Unprecedented Challenges
(9983.HK) Central China New Life Limited
Aug 03, 2020
Blossoming on Deep Roots in Henan Province
At the Forefront of China Property
Jul 20, 2020
1H20 Results Preview: Size Matters?
(832.HK) Central China Real Estate Limited
Jul 16, 2020
Greentown Listing Paves Way to Unlock Asset-Light Value
(35.HK) Far East Consortium
Jul 3, 2020
Riding through the Storm, Property Sales offer the Silver Lining
At the Forefront of China Property
Jun 23, 2020
Developers Recapitalising Balance Sheets ahead of Interim Results
(230.HK) Minmetals Land Limited
Jun 5, 2020
An Important Milestone that Transforms Sales Growth Outlook
China Property
May 5, 2020
A Bumpy Ride Ahead, Take Shelter under Dividend Yield
(0832.HK) Central China Real Estate Limited
Apr 2, 2020
Reaping in the Harvest and More is to Come
(6111.HK) Dafa Properties Group Limited
Apr 1, 2020
Project launches in 2Q20 Holds the Key to Full Year Growth Outlook
(0095.HK) LVGEM (China) Real Estate Investment Company Limited
Mar 31, 2020
Solid Execution on Highly Profitable Urban Redevelopment Land Bank
(1996.HK) Redsun Properties Group Limited
Mar 27, 2020
Solid Balance Sheet, Stable Growth, Inexpensive Valuations
(3662.HK) Aoyuan Healthy Life Group
Mar 27, 2020
Profitability Over Scale, Growth Quality Underappreciated
(3883.HK) China Aoyuan Group
Mar 25, 2020
Execution Strength Shines Through in Times of Adversity
(1238.HK) Powerlong Real Estate Holdings Limited
Mar 17, 2020
Growth Trajectory Intact, Reiterate Buy
(35.HK) Far East Consortium International Limited
Mar 4, 2020
The Chase for Yield Accelerates, Positive for Overseas Property Sales
(17.HK) New World Development
Mar 3, 2020
Solid Foundations to Ride out Near Term Challenges
China Property
Feb 7, 2020
Virus Outbreak Tightens Cash Flow, but End-User Demand will remain Intact
6111.HK Dafa Properties Group Limited
Jan 8, 2020
Rapidly Rising Through the Ranks, beating Market expectations
3662.HK Aoyuan Healthy Life Group
Dec 17, 2019
A Major Step in Building a Healthcare and Beauty Business Empire
0035.HK Far East Consortium
Dec 03, 2019
Hospitality Trust spin-off will drive Share Price Re-rating, Reiterate Buy
0832.HK Central China Real Estate Limited
Nov 12, 2019
All Set to be the next Shining Star in the Sector, Initiate with Buy
Special Focus: Victoria Dockside
Nov 5, 2019
A Key Milestone that marks The Dawn of a New World
0095.HK LVGEM (China) Real Estate Investment Company Limited
Oct 30, 2019
Crown Jewel acquired at a minimal cost, a Positive Surprise
1238.HK Powerlong Real Estate Holdings Limited
Oct 16, 2019
Recapitalised Balance Sheet for Value Accretive Opportunities
China Property
Oct 8, 2019
Time to ditch Stock Picking methodology based on Tier-1, 2, 3 exposure
China Aoyuan Property - Consensus Earnings Upgrades to Drive Share Price Higher
August 2, 2019
We expect consensus to continue to revise their earnings upwards and eventually the share price will reflect the earnings growth potential
Far East Consortium FY19 review
Jul 3, 2019
FY19 revenue grew by 17.3% yoy with growth across the segments. Development gross margin came back to a more normalized level as expected. As a result, core cash profit grew by 9.6% yoy. Full year DPS was maintained at HK$22 cents, same as FY18. We estimate that FY19 contracted sales slightly declined to HK$5.0bn vs HK$6.3bn in FY18. For FY20 FEC plans a HK$15.4bn worth of new launches.
A leading property management service provider
May 24, 2019
Aoyuan Healthy Life provides property management service for residential and non-residential properties and commercial operational service for mid-high end shopping malls in China.
China Renaissance - All eyes on Science and Technology Innovation Board
March 21, 2019
China Renaissance is the leading investment bank dedicated to China’s new economy companies and entrepreneurs. We believe China Renaissance’s unmatched ability to engage new economy entrepreneurs, its deep understanding of the new economy companies
China Aoyuan Property - Upgrade to Buy rating on valuation and strong sales momentum
March 1, 2019
We upgrade Aoyuan to Buy. The company has maintained a faster-than-peer sales momentum on sufficient landbank, strong execution and a strong balance sheet
New World Development - A GBA conglomerate dedicated to craftsmanship and unparalleled living experience
February 18, 2019
NWD has created a series of products and living concepts with forward-looking ideas and tastes, which reflects its dedication to craftsmanship and provides an unparalleled array of exclusive experience to its customers under the ecosystem of The Artisanal Movement living sphere
35 Far East Consortium - Gaming segment becomes visible
November 29, 2018
FEC has strong contracted sales in 1HFY19 and revenue grew by 7% yoy; Interim DPS was maintained at HK$ 4 cents, same as 1HFY18; Gaming sector become increasingly important, for the first time, gaming sector started to contribute to revenue. Trans World Corporation contributed HK$177 million revenue in gaming and hotel operations; Revise up price target to HK$5.86
35 Far East Consortium - The Value of Diversification
June 28, 2018
FEC has a diversified property development portfolio and hotel portfolio in Australia, Singapore, UK&Europe, China, HK and Malaysia and has demonstrated its ability to time different cycles in different markets. In FY18, FEC has turned more bullish in Singapore and UK and increased land purchases in light of potential slowdown in other markets
A Battle for Survival - Intensified market consolidation & battle for resources
May 15, 2018
Tightening on property market comes to the harshest moment. We recommend names with strong access to acquiring lands from M&A, urban redevelopment projects and shanty housing redevelopment. SOE will have advantage in this elimination game: low funding cost, access to land resource and shanty housing redevelopment experience.
2007 HK Country Garden - Sales momentum in lower tier cities continues
April 12, 2018
Country Garden's sales momentum remains strong in FY2017 and 1Q18; Revise up price target to HK$17.20, 'HOLD'
3383 HK Agile - Diversifying non-property businesses
April 12, 2018
Thanks to the high margin of projects in Hainan and Zhongshan, growth of gross profit improved by 67% YoY to RMB 20.69 bn.Revise up price target to HK$17.80, 'HOLD'
3900 HK Greentown - Uncertainty of profit pattern
April 12, 2018
Gross profit margin slightly dropped, low visibility on profit from non-investment projects. 2017 result in line; core net profit increased by 13.5% YoY; Revise up price target to HK$11.62, maintain 'HOLD'
813 HK Shimao - Growth comes back again
April 3, 2018
Upgrade to 'BUY', net profit has bottomed out and accelerate its turnover for achievable sales growth. 2017 result in line; core net profit surged by 43.5% YoY
Far East Consortium - Strengthening alliance with The Star
March 29, 2018
FEC entered share subscription agreement with The Star Entertainment Group (ASX stock code SGR) in which FEC and Chow Tai Fook Group (CTF) each will subscribe for 4.99% of The Star’s new shares; Reiterate “BUY” and Price target of HK$5.34
688 HK COLI - Targeting stable high-quality growth
March 27, 2018
Upgrade to 'BUY' on steady growth and revise up price target to HK$33.92revise up price target to HK$33.92, reasonable profitability and low valuation; 2017 results in line
1813 HK KWG Seeking balance between scale and profitability
March 27, 2018
Downgrade to 'HOLD' and revise down TP to HK$12.50: 2017 result missed our estimation; core net profit dropped by 19% YoY, expansion execution takes times to testify
960 HK Longfor property Stable growth as always
March 27, 2018
Upgrade to 'Buy' and revise up TP to HK$ 25.34: 39% YoY growth of core net profit, GPM enhanced to 34%
3380 HK Logan Property - The best proxy in Great Bay area
March 23, 2018
87% YoY growth of core net profit, GPM enhanced to 35%; Revise up price target to HK$12.32, 'HOLD'
1109 HK CR Lands - Winner of next 5 years, BUY
March 21, 2018
2017 result: slow growth, but high profitability; CR Lands' multi-channel of land acquisition is irreproducible competitiveness to scale pursuer with high land cost.Upgrade to 'BUY' Revise up price target to HK$34.74
2777 HK R&F properties - High growth but higher gearing
March 21, 2018
Solid 2017 result, core net profit grew by 107% YoY; RMB 300 bn of sales target in 2020 implying 54% CAGR in 2017-2020; Revise up price target to HK$23.89, 'HOLD'
3883 HK China Aoyuan - All eyes on scale - targeting RMB 73bn contracted sales in 2018
March 16, 2018
Solid 2017 result, robust growth in net profit, but GPM missed; Execution will be the key to achieve RMB 73bn of 2018 sales target; Revise up price target to HK$8.10, 'HOLD'
35 HK FEC - Acquiring a small casino & hospitality group in Europe
March 6, 2018
FEC has announced that it had entered merger agreement with Trans World Corporation, which is engaged in hospitality and gaming business in Germany, Austria and Czech. Reiterate “BUY” and Price target of HK$5.34
1813 HK KWG - Shifting to fast track
February 5, 2018
Contract sales in Jan. surged 155% YoY to Rmb 5.56 bn. Rmb 100 bn of saleable resource support fastgrowth of contracted sales in 2018
3380 HK Logan Property - Abundant resource supports rapid growth
January 26, 2018
Logan targets 50% growth of contracted sales in 2018; Upgrade PT to HK$12.11; maintain 'HOLD'
Land supply reform to support multi land supplies in future
January 18, 2018
Minister of Ministry of Land and Resource: Exploring separation of ownership, qualification and use right of rural homestead; government will not be the only land supplier in future
3883 HK China Aoyuan - Targeting RMB 100bn of sales by 2020
January 15, 2018
Positive profit alert for 2017, at least up 75% YoY; Looking forward, the company has strong confidence and targets a RMB 50-60bn of contracted sales in 2018 and RMB 70-80bn of contracted sales in 2019. Reiterate Buy and price target of HK$6.94
Fixed income - Ronshine China - Capex Expansion & Refinancing Pressure in Next 2 Years
January 10, 2018
High Capex for expansion ahead and gearing ratio should increase; Marketperform on RONXIN 19, still 180 bps value over MOLAND 19
35 HK FEC - 1H18 review
November 28, 2017
1HFY18 net profit surged by 52% yoy to HK$1.0bn (+52% yoy); interim DPS raised to 4 HK$ cents from 3.5 HK$ cents in 1HFY17; Price target upgrade to HK$5.34; hidden gem with deep NAV discount
Chinese High Yield Properties
November 3, 2017
The story in 2017 is playing safely & holding for carry. Asian bond market continued to enjoy abundant liquidity while Chinese funding contributing increasing shares. Supplies from property sector dominate the Chinese HY names due to depressed onshore bond issuance and a strong physical property market in China.
China Property Sector 1H17 Results Review
September 15, 2017
Majority of developers in 1H2017 delivered improved GPM, lower net gearing and lower borrowing costs. Some companies even showed ambition of further fast growth in next 4-5 years, which we think may look challenging in light of future tightening policies.
2H17 China Property Sector Outlook - Bubble Burst? Nope! Just Slow Down!
June 30, 2017
We expect the property sector valuation to de-rate in 2H17. We selectively overweigh developers with achievable presales growth, less share price gain YTD, and relatively low valuation.
China Aoyuan (3883.HK; Buy) - Continuous growth supported by strong execution
April 7, 2017
Initiate with Buy rating: High earnings visibility; low valuation; industry consolidation provides growth opportunity.
Initiation of Coverage: Far East Consortium (FEC, 35.HK)
October 25, 2016
Far East Consortium International Limited (FEC) is a medium-sized property conglomerate. It has a geographically diversified portfolio with a balanced revenue mix in property development, hotel, car park management and property investment. We initiate coverage on Far East Consortium with a Buy rating.