建业新生活-高密集支撑稳健增长-221005（英文版）（18页）.pdf

1、 See the last page for disclaimer Page 1 of 18 Equity Research Company Report Equity Research Report 股股票票研研究究 公公司司报报告告 证证券券研研究究报报告告 Property Sector 房房地地产产行行业业 Central China New Life(09983 HK)建建业业新新生生活活 Company Report:Central China New Life(09983 HK)Chunli Zhan 詹春立(852)2509 7745 公司报告：建业新生活(09983 HK).

2、hk 5 October 2022 High Concentration To Underpin Solid Growth,Initiate With Buy 高密集支撑稳健增长，首次覆盖给予“买入”We initiate with Buy rating and TP of HK$3.20.We forecast the Companys 2022F-2024F EPS to be RMB0.526 RMB0.586 and RMB0.669,respectively,which represents a CAGR of 11%during 2021-2024F.With valuation

3、method using peers comparison for PE multiple,we derive our HK$3.20 TP for CCNL by applying 5.0 x 2023F PE.We initiate with Buy rating.Where we differ:1)we believe CCNLs high GFA concentration is a competitive advantage for further growth;2)CCNLs strong expansion capability from third parties is usu

4、ally ignored or underappreciated by the market;and 3)currently lower GDP per capita in Henan means more upside potential for the Company,instead of being a major concern.We like CCNL for its higher certainty in solid growth,amid the growth slowdown of the industry.We deem that the Companys regional

5、focus strategy should provide more certainty for further solid growth.Furthermore,we believe that CCNL will continue to solidify its scale leadership in Henan,leveraging its high GFA concentration and more potential cooperation with Henan SOEs.Catalysts:1)Faster growth from community VAS business;2)

6、larger increase in property management fee,alongside GDP per capita rise in Henan;and 3)more cooperation with Henan SOEs.Downside risks:1)Slower-than-expected growth in winning third-party projects;2)insolvency issues at CCRE;3)slower-than-expected growth in community VAS business;and 4)unexpected l