In terms of where you would put the largest investment on , how would you rank the companies ?
( AIA, Bank of China Hong Kong, CK Hutchison, Swire Pacific, L’Occitane, Cafe de Coral, Tai Cheung, Plover Bay Technologies, Pentamaster International and IH Retail. )
Oh, well if I were to invest in these companies myself, I'd allocate the most to the stocks in this order: Cafe de Coral, L'Occitane, Tai Cheung, Plover Bay Technologies, IH Retail, Pentamaster, Bank of China Hong Kong, CK Hutchison, Swire Pacific and AIA. I like smaller stocks with greater upside and / or momentum. But not investment advice, your risk profile may differ.
The drop in EPS for IH retail was actually 35% and not 18% according to their latest interim report (page 4 - alinea 3) . This calculation already excludes the grants under the Employment Support Scheme in 2022.
I am a new subscriber to your substack (since yesterday) and really pleased with the value you provide here.
Regarding the property landlords you covered on your site like Hysan, Swire etc., what's your assessment of the recently announced lifting of existing stamp duties (1)?
Isn`t this a big catalyst for these property stocks alongside the already announced Return-to-office mandates?
Hi Holger, yes exactly - the removal of the stamp duties are super positive for real estate agents and residential property developers. Tai Cheung will benefit, and to a lesser extent the larger developers like Sun Hung Kai Properties, Henderson Land and CK Asset. I haven't figured out the best way to play it, but I agree with you that it's a major event.
Hi Michael ,
In terms of where you would put the largest investment on , how would you rank the companies ?
( AIA, Bank of China Hong Kong, CK Hutchison, Swire Pacific, L’Occitane, Cafe de Coral, Tai Cheung, Plover Bay Technologies, Pentamaster International and IH Retail. )
Oh, well if I were to invest in these companies myself, I'd allocate the most to the stocks in this order: Cafe de Coral, L'Occitane, Tai Cheung, Plover Bay Technologies, IH Retail, Pentamaster, Bank of China Hong Kong, CK Hutchison, Swire Pacific and AIA. I like smaller stocks with greater upside and / or momentum. But not investment advice, your risk profile may differ.
Hi Michael,
Great review.
As individual investor im trying to go deep into small value in HK
I found one that look interesting, Hong Kong Ferry. Any opinion would be great!
Thanks
Seems like another property developer, think it has mainland exposure. A few tweets about it here: https://x.com/krisko12769/status/1745748746275868813?s=20
Hi Michael,
The drop in EPS for IH retail was actually 35% and not 18% according to their latest interim report (page 4 - alinea 3) . This calculation already excludes the grants under the Employment Support Scheme in 2022.
With kind regards,
Jelle
Brilliant article. Thanks for putting it together. Such a great insight into a great city.
L’Occitane, Swire Pacific, Cafe de Coral and Tai Cheung are the most interesting to me out of your list.
Extremely insightful. Thank you.
My pleasure!
Hi Michael,
thanks for your thorough review.
I am a new subscriber to your substack (since yesterday) and really pleased with the value you provide here.
Regarding the property landlords you covered on your site like Hysan, Swire etc., what's your assessment of the recently announced lifting of existing stamp duties (1)?
Isn`t this a big catalyst for these property stocks alongside the already announced Return-to-office mandates?
Best,
Holger
(1) https://hongkongfp.com/2024/02/28/breaking-budget-2024-extra-stamp-duties-axed-in-bid-to-revive-hong-kong-housing-market/
Hi Holger, yes exactly - the removal of the stamp duties are super positive for real estate agents and residential property developers. Tai Cheung will benefit, and to a lesser extent the larger developers like Sun Hung Kai Properties, Henderson Land and CK Asset. I haven't figured out the best way to play it, but I agree with you that it's a major event.