Lucror Analytics

Lucror Analytics is a leading credit and ESG research specialist and a provider of technology solutions for differentiated fixed income strategies. Our roots are in bottom-up fundamental credit analysis with a specialization in high yield corporate credits from Europe, Asia and Latin America. We are one of few research specialists integrating ESG considerations with fundamental credit research through a dedicated ESG platform. Our ESG assessment covers five key criteria: Disclosure, E,S, & G Pillars, Controversies, ESG Impact on Credit and ESG Momentum.

Recognizing the importance and value-add of Factor Investing in fixed income, Lucror developed the Smart Quant Navigator (SQN), an intuitive platform that helps clients devise and implement factor-based strategies ranging from pure quant to active fundamental, with integrated ESG.

Our company has been at the forefront of developments in the fixed income markets, identifying opportunities and consistently delivering new products and value-adding solutions to clients. Lucror has close relationships with the largest and most reputable asset managers, family offices, hedge funds, investment and wealth managers globally.

High Yield Experts

Senior Credit Analyst, Lucror Analytics

Leonard Law, CFA

Senior Credit Analyst

Credit

We view Hopson Development as "High Risk" on the LARA scale. Our assessment primarily reflects the company's constantly evolving business strategy and financial risk profile. Positives include Hopson's high-quality land bank in premium locations (acquired at low cost) and the cash-generating investment property portfolio. Margins are robust given the company's positioning as a high-end property developer, although this also exposes Hopson to high regulatory and market risk. Our "Stable" Credit Bias is underpinned by the company's resilient contracted sales, which are supported by the large and high-quality land bank, improving sales and abundant saleable resources. That said, we remain cautious on Hopson's aggressive expansion and increasing involvement in equity investments, which may be debt-funded and could introduce significant performance volatility. Controversies are "Material", while the ESG Impact on Credit is "Moderately Negative". While the company's credit fundamentals appear to be healthy, we believe its bond price could be volatile due to negative impact from weak market sentiment and poor technicals. We therefore maintain our “Hold” recommendation on the HPDLF curve.

  We view Hopson Development as "High Risk" on the LARA scale. Our assessment primarily reflects the company's constantly evolving business strategy and financial risk profile. Positives include Hopson's high-quality land bank in premium locations (acquired at low cost) and the cash-generating investment property portfolio. Margins are robust given the company's positioning as a high-end property developer, although this also exposes Hopson to high regulatory and market risk.   Our "Stable" Credit Bias is underpinned by the company's resilient contracted sales, which are supported by the large and high-quality land bank, improving sales and abundant saleable resources. That said, we remain cautious on Hopson's aggressive expansion and increasing involvement in equity investments, which may be debt-funded and could introduce significant performance volatility. Controversies are "Material", while the ESG Impact on Credit is "Moderately Negative".   While the company's credit fundamentals appear to be healthy, we believe its bond price could be volatile due to negative impact from weak market sentiment and poor technicals. We therefore maintain our “Hold” recommendation on the HPDLF curve. 

Hopson Development - Tear Sheet - Lucror Analytics