HSBC Research published a report, saying that CHINA VANKE (02202.HK) +0.060 (+1.676%) Short selling $47.14M; Ratio 12.409% ’s credit situation is idiosyncratic, and its impact on major SOE developers should taper off. The broker considered that the systemic tail risk in the Chinese property sector remained controllable, with more policy support possibly on the way.The broker downgraded CHINA VANKE from Hold to Reduce, lowering the target price from HK$4.3 to HK$3. It preferred CHINA RES LAND (01109.HK) -0.720 (-2.332%) Short selling $66.13M; Ratio 15.483% , C&D INTL GROUP (01908.HK) -0.090 (-0.541%) Short selling $3.48M; Ratio 10.092% , and SEAZEN (01030.HK) -0.020 (-0.926%) Short selling $1.66M; Ratio 5.876% , which were maintained at Buy. The broker expressed concern that potential debt restructuring could wreak irreversible damage to CHINA VANKE’s credit image. Related NewsJPM: Cost Reduction Measures for CN Real Estate May Only Boost ST Deal Vol. Top Picks CHINA RES LAND, CHINA RES MIXCHSBC Research also noted that meaningful stimulus policies could trigger a short squeeze, presenting upside risks for the stock price. Investors with higher risk tolerance may consider higher-quality POEs, such as LONGFOR GROUP (00960.HK) -0.030 (-0.308%) Short selling $48.49M; Ratio 33.947% and SEAZEN.The broker believed the following four key factors will accelerate policy implementation: the credit risk reignited by the Vanke incident; high year-end sales base; increased buyer hesitation, expecting more subsidies; and the government's motivation to set a good start for the “15th Five-Year Plan” and build momentum for the spring peak season in 2026. (HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-11-28 16:25.)