[ET Net News Agency, 12 March 2021] Goldman Sachs lifted its target price for Sunac
Services Holdings (01516) to HK$28 from HK$25 and maintained its "buy" rating.
The research house said Sunac Services' FY2020 net profit was up 123% to Rmb601mn, 3%
higher than Goldman's estimates, with strong margin performance at all segments more than
offsetting topline miss. It fine-tuned its 2021-23 EPS forecasts by -4%-0%.
Goldman believes that Sunac Services is increasingly showcasing its external project
expansion capability (both scale and project quality) as well as community VAS ramp-up. It
also sees well on-track margin enhancement on the back of strong economies of scale (high
project density on core high-tier cities), tech empowerment, and smart community
initiatives. (KL)