Although Zheshang Securities predicts that Lujing China Real...

Although Zheshang Securities predicts that Lujing China Real Estate will still lose money in 2023, due to its excellent financial security, land storage quality, and brand strength, the company should enjoy a valuation premium. Its operating conditions continued to improve, and valuation risks were gradually resolved. Based on the company's experience and policy support in the field of renovation, as well as an optimized debt structure, the company's performance is highly anticipated. However, we need to be wary of risks such as policy uncertainty, industry downturn affecting gross margins, and project progress falling short of expectations.