[ET Net News Agency, 11 June 2020] Nomura lifted its target price for Shimao Property
Holdings (00813) to HK$43.25 from HK$37 and maintained its "buy" rating.
The research house expects Shimao to deliver a 17% contracted sales CAGR in 2020-21, the
strongest sales growth among its top 10 peers, helped by its fast asset turn and
high-quality landbank (52% in tier 1 and core districts in tier 2 cities).
Nomura expects Shimao's expertise in M&As (60- 70% of land acquisitions in 2019) should
enable it to remain as a market consolidator in a challenging 2020. The likely spin-off of
its property management subsidiary in 2H should also drive a re-rating. (KL)