The development prospect is optimistic by the institution again, and CICC raises the target price of Hejing Taifu

category:Finance
 The development prospect is optimistic by the institution again, and CICC raises the target price of Hejing Taifu


Property management business has entered the fast lane

CICC expects that in addition to its own project delivery, hejingtaifu will also expand its management area through active acquisition in Guangdong and Zhejiang. At the same time, the company also plans to actively expand value-added services, especially through the one in one platform to provide value-added services for commercial real estate. Therefore, CICC expects that the growth rate of earnings of the material management sector will be 40-50% in 2020, so under the conservative assumption, it is estimated that the fair value of the sector will be apportioned to the corresponding per share value of the current circulating shares of about HK $2.0.

The urban renewal business is progressing smoothly. Hejing Taifu has signed 26 urban renewal projects by the end of 2019 with a potential saleable resource of RMB 585 billion. The projects focus on Guangzhou, Foshan and Shenzhen. CICC expects a project in Shenzhen to start supplying goods in the second half of this year, and three projects in Guangzhou have been demolished at the beginning of this year, which is expected to release about 10 billion yuan of marketable value next year. Maintain the profit forecast and outperform the market rating, raise the target price by 11% to HK $15.04, and the property development and sales growth rate will be recovered. The release of property management sector value provides additional catalyst for the value revaluation. CICC maintains the profit forecast and outperform the market rating of Hejing Taifu, and increases the target price by 11% to HK $15.04. Source: First Financial Editor: Wang Wenhua_ NF5982

The urban renewal business is progressing smoothly, with the potential available resources reaching RMB 585 billion

By the end of 2019, hutchingtaifu has signed 26 urban renewal projects, with a potential sellable resource of RMB 585 billion, and the projects focus on Guangzhou, Foshan and Shenzhen. CICC expects a project in Shenzhen to start supplying goods in the second half of this year, and three projects in Guangzhou have been demolished at the beginning of this year, which is expected to release about 10 billion yuan of marketable value next year.

Property development and sales have picked up growth again. The release of value in property management sector provides additional catalyst for value revaluation. CICC maintains its profit forecast and outperform the market rating, and raises its target price by 11% to HK $15.04.