Zhitong Financial APP learned that property management stocks rebounded collectively in early trading. As of press time, Aoyuan Health (03662) rose 7.02% to HK $2.44; Shimao Services (00873) rose 5.27% to HK $5.39; Poly property (06049) rose 4.9% to HK $56.75; Sunac Services (01516) rose 4.71% to HK $8.01.
On the news, Morgan Stanley previously released a research report saying that with more housing policy loosening measures, the property management industry is expected to increase profits by 60% this year, and the industry valuation is attractive (equivalent to the average forecast price-to-earnings ratio of 13 times next year), which is expected to support the rebound of property management stocks.
The bank expects profit growth in the property management industry to normalize in 2023, with growth expected to range from 27 per cent to 48 per cent. On the other hand, there are two types of enterprises in the industry, which show higher security, stable growth and higher visibility of parent developers, including enterprises with the background of state-owned enterprises and private enterprises with sound balance sheets, as well as third-party or non-residential enterprises with strong expansion capacity. In the property management industry, Morgan Stanley likes to have strong parent developers and can act as integrators, as well as enterprises with strong third-party expansion.