[ET Net News Agency, 22 January 2020] Daiwa Research raised its target price for Shimao
Property (00813) to HK$36.4 from HK$29.1 and maintained its "buy" rating.
The research house believes Shimao is well-positioned to achieve above-peer sales growth
in 2020-21, backed by its abundant landbank, high asset turnover, and sales execution
capability.
With contract sales of CNY260.8bn for 2019, Shimao's 48% sales growth in 2019 was one of
the highest growth rates among the major developers. For 2020, Shimao plans saleable
resources of at least CNY500bn. Assuming a sell-through rate that is slightly below its
achieved sell-through of 65% in 2019, Daiwa forecast 23% growth in Shimao's 2020 contract
sales to CNY320bn. (KL)