Date: October 2, 2024
Broker: UOB Kay Hian
Company Overview
Longfor Properties Co. Ltd. is a prominent property developer in China, specializing in residential, commercial, and mixed-use developments.
Market Position
- Resilient Market Player: Longfor Properties has maintained a strong presence in the Chinese real estate market, known for its quality developments and comprehensive project management capabilities.
Financial Performance
- Target Price Increase: The target price for Longfor Properties has been raised to HK$17.20, reflecting the positive outlook based on increased sales and improved market conditions.
Strategic Developments
- Valuation Adjustments: The increase in target price is attributed to enhancements in the price-to-earnings (P/E) multiple, reflecting confidence in the company’s future performance amid a recovering market.
Future Outlook
- Market Recovery Potential: The anticipated recovery in the property market, driven by policy changes and increased buyer confidence, positions Longfor Properties favorably for continued growth.
Investment Recommendation
- Buy Rating: Maintain a BUY recommendation, indicating strong confidence in Longfor Properties’ strategic initiatives and its ability to capitalize on favorable market trends for enhanced financial performance.
