HSBC: Raise HANG LUNG PPT (00101) target price to 10 Hong Kong dollars with a "buy" rating.

DBS released a research report saying that HANG LUNG PPT (00101) still has attractive valuation, especially for long-term investors seeking to invest in the high-end shopping mall industry in China. It is expected that any further policies aimed at boosting consumption could enhance its investment attractiveness. The "buy" rating is maintained, with the target price raised from the original 9.38 Hong Kong dollars to 10 Hong Kong dollars. DBS believes that Hang Lung, as a leading commercial real estate developer in China, holds a portfolio of commercial properties in China for long-term investment purposes. With expectations of improvement in tenant sales and expansion of property portfolio, rental income from its properties is expected to increase, and renewal rental adjustment rates are showing a growth trend. The report points out that Hang Lung's overall tenant sales in mainland China increased by 10% year-on-year in the third quarter of 2025, mainly driven by Shanghai's Ganghui Hang Lung Plaza. The sales performance of Hang Lung Plaza in Wuhan is also stabilizing, and Hangzhou Hang Lung Plaza will gradually open, with office buildings and parts of the shopping mall to be phased in from this year and the second quarter of next year. Pre-leasing rates are 27% and 83% respectively, which is believed to support rental income growth in the coming years.