DBS Bank predicts that property prices in Hong Kong will increase by 5% to 10% this year. It has raised its target price for MIDLAND HOLDING (01200) to 3.61 Hong Kong dollars.

DBS Bank released a research report stating that with demand picking up across the board, the residential property market in Hong Kong is bottoming out and starting to recover. It is expected that new building supply will gradually decrease from this year or next year. With the improving outlook for supply and demand, the momentum of the residential market recovery is expected to continue, which is positive for MIDLAND HOLDING (01200). The bank predicts that residential property prices will increase by 5% to 10% this year, with both primary and secondary market transaction volumes increasing by 5% and 8% respectively. This should drive MIDLAND HOLDING's profits and lead to an increase in its stock price, with profit forecasts for 2025 and 2026 rising by 29% and 22% respectively; DBS Bank gives MIDLAND HOLDING a "buy" rating and raises its target price to HK$3.61.