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<Research>UBS: CN Property Managers' Interim Profit Growth Expected to Slow to 13%; Top Pick GREENTOWN SER (02869.HK)
Chinese property managers are expected to see a continued slowdown in 1H25 results, with average earnings growth slowing to 13% YoY, lower than 17% in 1H24 and 14% for 2024, compar...
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<Research>UBS: CN Property Managers' Interim Profit Growth Expected to Slow to 13%; Top Pick GREENTOWN SER (02869.HK)
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Chinese property managers are expected to see a continued slowdown in 1H25 results, with average earnings growth slowing to 13% YoY, lower than 17% in 1H24 and 14% for 2024, compared to the market consensus of 15%, mainly dented by a slowdown in China's residential market, which resulted in slower growth in the number of square meters under management, a decline in the rate of property fee collection, reduced value-added services for developers and pressure on the gross profit margin from community value-added services, according to a research report released by UBS.

The broker listed GREENTOWN SER (02869.HK)  -0.040 (-0.835%)    Short selling $3.08M; Ratio 8.416%   as its sector top pick, which is expected to post a 20% increase in interim earnings, outperforming its peers.

Related NewsBofAS Gives CHINA RES MIXC Rating Buy; Valuation Recovery Period for CN Property Managers Should Have Ended
CHINA RES MIXC (01209.HK)  +0.100 (+0.274%)    Short selling $36.52M; Ratio 21.998%   / ONEWO (02602.HK)  -0.150 (-0.667%)    Short selling $3.31M; Ratio 15.994%   / CHINA OVS PPT (02669.HK)  0.000 (0.000%)    Short selling $2.41M; Ratio 6.212%   / POLY PPT SER (06049.HK)  -0.050 (-0.143%)    Short selling $1.71M; Ratio 6.683%   are expected to post 1H25 profit growth of 16%/ 11%/ 6%,/ 5% respectively. CG SERVICES (06098.HK)  -0.010 (-0.154%)    Short selling $12.79M; Ratio 14.143%   's interim earnings are expected to fall by 12%.

UBS upgraded GREENTOWN SER from Neutral to Buy, and added its target price from $4.5 to $5.7, as the broker believed that the stock, with its independent operation mode, will be less weighed down by its parent company.

UBS also raised its 2025-2027 core profit forecasts for CHINA RES MIXC by a maximum of 3%, and expected its interim results to benefit from retail sales and rental growth. Therefore, the broker lifted its target price from $30 to $38, with rating reiterated at Neutral.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-08-01 16:25.)

Related NewsBofAS Ratings, TPs on CN Managers (Table)

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