Country Daily
Hong Kong Property Sector / Hesai Group
Analyst
Key Indices
Top Stories
Sector Update | Hong Kong Property
Larger units led Hong Kong’s 2026 housing recovery. In 10M26, agreements above HK$10m rose 40-51% yoy while those below HK$4m fell 9.2%, and Class D-E rents rose 8.8% in 9M26, against 5.7% for Class A-C. RVD forecasts Class D-E completions falling 63% yoy to 202 units in 2027 while Class A completions rise 17.9%. Expect small-unit pricing pressure and stable large-unit prices. Maintain MARKET WEIGHT; SHKP remains our top pick. Highlight Kerry Properties for strong high-end market exposure and attractive yield.
Company Results | Hesai Group (2525 HK/BUY/HK$15.07/Target: HK$29.00)
Hesai posted mixed 3Q26 results with the beats on LiDAR ASP and SGI revenue offsetting the LiDAR sales miss. Forward earnings will be driven by the stabilisation of ADAS LiDAR prices, as well as robotics businesses. We cut our 2026 GAAP net profit forecast by 28% to Rmb289m to reflect one-off losses/expenses, and keep those for 2027-28 at Rmb758m/Rmb1.2b respectively. Maintain BUY. Target price: HK$29.00.
Top Stories
Sector Update | Hong Kong Property
Larger units led Hong Kong’s 2026 housing recovery. In 10M26, agreements above HK$10m rose 40-51% yoy while those below HK$4m fell 9.2%, and Class D-E rents rose 8.8% in 9M26, against 5.7% for Class A-C. RVD forecasts Class D-E completions falling 63% yoy to 202 units in 2027 while Class A completions rise 17.9%. Expect small-unit pricing pressure and stable large-unit prices. Maintain MARKET WEIGHT; SHKP remains our top pick. Highlight Kerry Properties for strong high-end market exposure and attractive yield.
Company Results | Hesai Group (2525 HK/BUY/HK$15.07/Target: HK$29.00)
Hesai posted mixed 3Q26 results with the beats on LiDAR ASP and SGI revenue offsetting the LiDAR sales miss. Forward earnings will be driven by the stabilisation of ADAS LiDAR prices, as well as robotics businesses. We cut our 2026 GAAP net profit forecast by 28% to Rmb289m to reflect one-off losses/expenses, and keep those for 2027-28 at Rmb758m/Rmb1.2b respectively. Maintain BUY. Target price: HK$29.00.
Analyst
Key Indices
IMPORTANT NOTICE - DISCLOSURES AND DISCLAIMERS
This report is provided subject to, and must be read together with, the full Disclosures / Disclaimers available at this link, which are incorporated by reference into this report. In particular, this report is intended for general circulation and informational purposes only and does not constitute personal investment advice or a recommendation to buy or sell any investment product or security. You should independently evaluate the information and, where necessary, seek advice from a qualified financial adviser regarding the suitability of any investment. Analyst certifications required under applicable regulations, including SEC Regulation AC (where relevant), are included in this report. By accessing, receiving or using this report, you acknowledge that you have read, understood and agreed to be bound by the Disclosures / Disclaimers, as may be amended, supplemented or updated from time to time.
