[ET Net News Agency, 5 February 2018] Nomura lifted its target price for KWG Properties
(01813) to HK$16 from HK$11.5, and maintained its "buy" rating.
The research house said KWG released very strong and upbeat January 2018 sales at
CNY5.6bn, up 155%/132% y-y/m-m. The company preliminarily targets 2018 sales to increase
58% y-y to CNY60bn, driven by CNY100bn saleable resources.
But Nomura expects 1H 2018 should achieve 50%-60% of the full-year target. It is more
bullish on 2018 sales, and expects it to increase 89% y-y to CNY72bn (including CNY8.6bn
en bloc office sales), given the higher sell-through rate under the newly adopted
partnership scheme in August 2017. (KL)