OCBC Bank: Swire Properties (01972) target price set at HK$30.38, with a rating of "buy".

DBS released a research report stating that the target price for SWIREPROPERTIES (01972) is 30.38 Hong Kong dollars, with a "buy" rating. The company's new retail complexes in Beijing, Shanghai, Sanya, and Xi'an are expected to gradually begin operations this year. These projects are expected to be important catalysts for long-term profit and dividend growth for SWIREPROPERTIES, driving the stock price up. DBS estimates that the current stock price is trading at a 50% discount to its net asset value (NAV), and the stock price is expected to move towards a long-term upward trajectory. SWIREPROPERTIES has a track record of creating long-term value through the development and management of property complexes. The report states that its core operations are showing signs of improvement, with the office portfolio at Pacific Place in Admiralty showing stability, coupled with improved sales momentum from retail tenants in Hong Kong and the mainland, expected to support stable rental income. In addition, the company announced at the end of last year that two independent houses in its super luxury residential project "6 Deep Water Bay Road" were sold for 2.2 billion Hong Kong dollars, equivalent to 147,000 Hong Kong dollars per square foot. This transaction is expected to be completed in the first quarter of this year, bringing substantial profits and supporting profit performance.