Equity Research in HK and Mainland China

Li Tang

Highly experienced sell-side analyst with more than ten years of experience in the field of China’s in-depth policy-driven macro research in China (Beijing) .
Covering in equity research in HK and Mainland market mainly real estate, construction,steel sector.
The Ideas generation based on an analysis of China’s future direction and policy decisions fundamental analysis on sector impact, market drivers, timing and scale, combined with quantitative analysis.

China Property Weekly: Sales Rise on Signs of Government Support

Thematic (Sector/Industry)

Myanmar Real estate management and development / Thematic (Sector/Industry)

<p>China seems to put the coronavirus under firm control while the real estate sector is among the coveted industries to help rejuvenate a slowing economy. The central government has indicated that it is satisfied with the current circumstances of the property market, and policy has refocused on stability and preventing potential risk. No large national tightening measures are expected<strong>.</strong> From the demand side, we see the trend improvement in home sales, mainly on more robust home demand in large cities.</p>
<ul class="">
<li class="">Tier 1 cities sales rise during the Labour Day holiday.</li>
<li>The China Index Academy data from 100 cities showed home prices in April are still seeing growth.</li>
<li>The country’s top 100 land-buying developers spent a combined 388.2 bn yuan acquiring new land in April this year, up 109% from the previous month.</li>
<li>CSRC and NDRC announced a long-awaited pilot program for real estate investment trusts (REITs) to provide new funding for infrastructure, bolster the economy and counter-economic fallout from the coronavirus shutdowns. About the background of the story, please see <a href="https://www.smartkarma.com/insights/china-real-estate-china-might-finally-be-getting-its-own-reits" target="_blank" rel="noopener">China Might Finally Be Getting Its Own REITs</a>
</li>
</ul>

China seems to put the coronavirus under firm control while the real estate sector is among the coveted industries to help rejuvenate a slowing economy. The central government has indicated that it is satisfied with the current circumstances of the property market, and policy has refocused on stability and preventing potential risk. No large national tightening measures are expected. From the demand side, we see the trend improvement in home sales, mainly on more robust home demand in large cities.

Tier 1 cities sales rise during the Labour Day holiday.
The China Index Academy data from 100 cities showed home prices in April are still seeing growth.
The country’s top 100 land-buying developers spent a combined 388.2 bn yuan acquiring new land in April this year, up 109% from the previous month.
CSRC and NDRC announced a long-awaited pilot program for real estate investment trusts (REITs) to provide new funding for infrastructure, bolster the economy and counter-economic fallout from the coronavirus shutdowns. About the background of the story, please see China Might Finally Be Getting Its Own REITs



Poly Real Estate Group Co., Ltd (600048 CH)

China Merchants Shekou Industr (001979 CH)

China Property Weekly: Housing Sales Recovered in May Day Holiday,Land Purchase Activities Rebounded