[ET Net News Agency, 18 October 2019] Jefferies Research initiated coverage on Logan
Property Holdings (03380) with a "buy" rating and a price target of HK$13.81.
The research house said Logan offers 34% FY2019-21 earnings CAGR and a 7-12% dividend
yield. Jefferies expects the gross margin to stay above 30%, given its low land cost
(accounts for 25% of ASP).
Logan is a Greater Bay Area (GBA)-focused developer with RMB430bn saleable resources
(72% in GBA), and Jefferies believes its huge urban renewal pipeline in GBA can secure
above-peer margin and sales growth in the medium term. (KL)