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<Research>HTSC: New Home Policies in BJ Fill Last Puzzle of Change in T1 Cities, Expected to Keep Stablise Mkt Expectations
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Huatai Securities released a research report on Beijing's new real estate policy. Like Shenzhen, Beijing's policy this time focused on credit and did not involve the purchase restriction policy. The broker believed Beijing's policy is a response to the new central policies announced on 17 May, reflecting the regulator's clear demand for "property sector stabilisation" being implemented continuously at an operational level. This is expected to promote the restoration of confidence in the property market and foster bottoming out as soon as possible, providing room for valuation repair for the sector.

According to Huatai, continuous policy improvement is expected to stabilise market expectations. The broker is optimistic about high-quality property developers and property management companies with abundant resources and solid operations in core cities, and recommended C&D INTL GROUP (01908.HK), YUEXIU PROPERTY (00123.HK), CHINA RES LAND (01109.HK), CHINA OVERSEAS (00688.HK), and LONGFOR GROUP (00960.HK).

Related NewsHSBC Global Research: Strong MoM Growth of Jun CN Home Sales Reflects Positive Impact of May Policy Ann
As for property managers, Huatai is bullish on CHINA RES MIXC (01209.HK), POLY PPT SER (06049.HK), BINJIANG SER (03316.HK) and ONEWO (02602.HK).

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