CICC Anticipates Continued Pressure on CN Developers' 2025 Earnings; CHINA RES LAND, CHINA OVERSEAS, and C&D INTL GROUP Maintain Significant Profit Levels
Earnings Forecast: China's real estate sector is expected to see a significant decline in earnings for covered companies in 2025, with firms like CHINA RES LAND, CHINA OVERSEAS, and C&D INTL GROUP projected to experience a 15-20% year-on-year decrease.
Market Sentiment: Despite the anticipated earnings drop, CICC maintains a positive outlook on the real estate sector for 2023, suggesting potential for positive returns and good value in stock selection for 2026.
Company Performance: Some companies, including GREENTOWN CHINA and YUEXIU PROPERTY, may report marginal profits, while others like LONGFOR GROUP and URBAN CONS DEV could face slight losses, with a few firms expected to see steady core profits.
Stock Ratings: CICC has kept its ratings and target prices unchanged for various Chinese developers, highlighting stocks such as BINJIANG GP and SEAZEN HOLDINGS as outperformers in the market.
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CICC Anticipates Continued Pressure on CN Developers' 2025 Earnings; CHINA RES LAND, CHINA OVERSEAS, and C&D INTL GROUP Maintain Significant Profit Levels
Earnings Forecast: China's real estate sector is expected to see a significant decline in earnings for covered companies in 2025, with firms like CHINA RES LAND, CHINA OVERSEAS, and C&D INTL GROUP projected to experience a 15-20% year-on-year decrease.
Market Sentiment: Despite the anticipated earnings drop, CICC maintains a positive outlook on the real estate sector for 2023, suggesting potential for positive returns and good value in stock selection for 2026.
Company Performance: Some companies, including GREENTOWN CHINA and YUEXIU PROPERTY, may report marginal profits, while others like LONGFOR GROUP and URBAN CONS DEV could face slight losses, with a few firms expected to see steady core profits.
Stock Ratings: CICC has kept its ratings and target prices unchanged for various Chinese developers, highlighting stocks such as BINJIANG GP and SEAZEN HOLDINGS as outperformers in the market.
Fitch Reaffirms CH OVS G OCEANS 'BBB' Long-Term Foreign-Currency Issuer Default Rating with Stable Outlook
Fitch Rating Affirmation: Fitch has affirmed CH OVS G OCEANS' Long-Term Foreign-Currency Issuer Default Rating at "BBB" with a Stable Outlook, and assigned the same rating to its proposed senior unsecured notes and dim sum bonds.
Comparison with Parent Company: The rating for CH OVS G OCEANS is lower than the Standalone Credit Profile of its parent company, CHINA OVERSEAS, which is rated "BBB+" due to CH OVS G OCEANS' limited scale and lower significance in national housing construction goals.
Citi's Ratings and Target Prices for Chinese Developers (Table)
Citi's Ratings for Chinese Property Developers: Citi has provided investment ratings and target prices for various Chinese property developers, with ratings ranging from "Buy" to "Sell/High Risk" based on their performance and short selling ratios.
Target Prices Overview: Target prices for selected developers include Agile Group at HKD 0.53, C&D International Group at HKD 22.5, and China Overseas at HKD 17.2, reflecting varying levels of investor confidence.
Citi's Ratings for Brokerage Platforms: The investment ratings for Chinese brokerage platforms and project managers also indicate a "Buy" recommendation for companies like KE Holdings and Greentown Management, with target prices set at USD 22.6 and HKD 3.45, respectively.
Market Reactions and Short Selling: The report highlights significant short selling activity across various stocks, indicating market volatility and investor caution, particularly in the context of the Chinese real estate sector.
Citi's Ratings and Target Prices for Chinese Developers (Table)
Stock Performance Overview: Various Hong Kong stocks showed mixed performance, with Agile Group and C&D International Group experiencing slight gains, while CIFI Hold GP and China Jinmao saw declines.
Investment Ratings: Investment ratings varied across companies, with several stocks like C&D International Group and China Overseas rated as "Buy," while others like CIFI Hold GP and Country Garden were rated as "Sell (High Risk)."
Short Selling Activity: Significant short selling activity was noted, particularly in stocks like KE Holdings and C&D International Group, indicating investor caution or bearish sentiment.
Market Insights: JPMorgan highlighted that mortgage subsidies alone may not be enough to revitalize the Chinese property market, suggesting a need for broader measures to attract investor confidence.
CH OVS G OCEANS Reports 43.7% Year-over-Year Decline in November Property Sales
Stock Performance: CH OVS G OCEANS (00081.HK) experienced a slight decline of 0.427% in its stock price, with a short selling amount of $1.22 million and a ratio of 41.282%.
Sales Figures: The company's property contracted sales for November totaled RMB2.289 billion, with a contracted gross floor area (GFA) of 210,400 square meters, reflecting a year-on-year decrease of 43.7% in sales and 38% in GFA.
CH OVS G OCEANS Reports October Property Sales of RMB3.74B, a 26% Year-over-Year Decline
October 2025 Sales Performance: CH OVS G OCEANS reported property contracted sales of RMB3.739 billion and a contracted GFA of 344,100 square meters, reflecting a year-on-year decrease of 26% and 20.1%, respectively.
Year-to-Date Sales Overview: From January to October 2025, total property contracted sales reached RMB27.326 billion with a total contracted GFA of 2.46 million square meters, showing a year-on-year decline of 13.1% and 10.8%.
CICC Anticipates Continued Pressure on CN Developers' 2025 Earnings; CHINA RES LAND, CHINA OVERSEAS, and C&D INTL GROUP Maintain Significant Profit Levels
Earnings Forecast: China's real estate sector is expected to see a significant decline in earnings for covered companies in 2025, with firms like CHINA RES LAND, CHINA OVERSEAS, and C&D INTL GROUP projected to experience a 15-20% year-on-year decrease.
Market Sentiment: Despite the anticipated earnings drop, CICC maintains a positive outlook on the real estate sector for 2023, suggesting potential for positive returns and good value in stock selection for 2026.
Company Performance: Some companies, including GREENTOWN CHINA and YUEXIU PROPERTY, may report marginal profits, while others like LONGFOR GROUP and URBAN CONS DEV could face slight losses, with a few firms expected to see steady core profits.
Stock Ratings: CICC has kept its ratings and target prices unchanged for various Chinese developers, highlighting stocks such as BINJIANG GP and SEAZEN HOLDINGS as outperformers in the market.
Fitch Reaffirms CH OVS G OCEANS 'BBB' Long-Term Foreign-Currency Issuer Default Rating with Stable Outlook
Fitch Rating Affirmation: Fitch has affirmed CH OVS G OCEANS' Long-Term Foreign-Currency Issuer Default Rating at "BBB" with a Stable Outlook, and assigned the same rating to its proposed senior unsecured notes and dim sum bonds.
Comparison with Parent Company: The rating for CH OVS G OCEANS is lower than the Standalone Credit Profile of its parent company, CHINA OVERSEAS, which is rated "BBB+" due to CH OVS G OCEANS' limited scale and lower significance in national housing construction goals.
Citi's Ratings and Target Prices for Chinese Developers (Table)
Citi's Ratings for Chinese Property Developers: Citi has provided investment ratings and target prices for various Chinese property developers, with ratings ranging from "Buy" to "Sell/High Risk" based on their performance and short selling ratios.
Target Prices Overview: Target prices for selected developers include Agile Group at HKD 0.53, C&D International Group at HKD 22.5, and China Overseas at HKD 17.2, reflecting varying levels of investor confidence.
Citi's Ratings for Brokerage Platforms: The investment ratings for Chinese brokerage platforms and project managers also indicate a "Buy" recommendation for companies like KE Holdings and Greentown Management, with target prices set at USD 22.6 and HKD 3.45, respectively.
Market Reactions and Short Selling: The report highlights significant short selling activity across various stocks, indicating market volatility and investor caution, particularly in the context of the Chinese real estate sector.
Citi's Ratings and Target Prices for Chinese Developers (Table)
Stock Performance Overview: Various Hong Kong stocks showed mixed performance, with Agile Group and C&D International Group experiencing slight gains, while CIFI Hold GP and China Jinmao saw declines.
Investment Ratings: Investment ratings varied across companies, with several stocks like C&D International Group and China Overseas rated as "Buy," while others like CIFI Hold GP and Country Garden were rated as "Sell (High Risk)."
Short Selling Activity: Significant short selling activity was noted, particularly in stocks like KE Holdings and C&D International Group, indicating investor caution or bearish sentiment.
Market Insights: JPMorgan highlighted that mortgage subsidies alone may not be enough to revitalize the Chinese property market, suggesting a need for broader measures to attract investor confidence.
CH OVS G OCEANS Reports 43.7% Year-over-Year Decline in November Property Sales
Stock Performance: CH OVS G OCEANS (00081.HK) experienced a slight decline of 0.427% in its stock price, with a short selling amount of $1.22 million and a ratio of 41.282%.
Sales Figures: The company's property contracted sales for November totaled RMB2.289 billion, with a contracted gross floor area (GFA) of 210,400 square meters, reflecting a year-on-year decrease of 43.7% in sales and 38% in GFA.
CH OVS G OCEANS Reports October Property Sales of RMB3.74B, a 26% Year-over-Year Decline
October 2025 Sales Performance: CH OVS G OCEANS reported property contracted sales of RMB3.739 billion and a contracted GFA of 344,100 square meters, reflecting a year-on-year decrease of 26% and 20.1%, respectively.
Year-to-Date Sales Overview: From January to October 2025, total property contracted sales reached RMB27.326 billion with a total contracted GFA of 2.46 million square meters, showing a year-on-year decline of 13.1% and 10.8%.
