Core Viewpoint - Shanghai Industrial Holdings is a comprehensive enterprise with four core businesses: infrastructure and environmental protection, healthcare, real estate, and consumer goods, having evolved since its establishment in 1996 as a red-chip company listed in Hong Kong [1][2]. Infrastructure and Environmental Protection - The company holds concession rights for three major expressways in Shanghai, providing stable revenue and cash flow due to consistent traffic and toll growth [1]. - The water business has a combined daily processing capacity exceeding 20 million tons, ranking among the top in the country, with platforms in Singapore and Hong Kong [1]. Real Estate - The real estate segment reported a loss of HKD 236 million in 2024, primarily due to impairment losses on property projects, despite holding a total land reserve of 4.2 million square meters [1]. Consumer Goods - The consumer goods segment, including Nanyang Tobacco and Yongfa Printing, has seen a recovery, with Nanyang Tobacco's net profit expected to grow by 86% to HKD 560 million in 2024, aided by increased overseas revenue following the commissioning of a factory in Malaysia [2]. Investment Outlook - The company is expected to benefit from the sale of a 19.5% stake in Yuefeng Environmental, which will generate HKD 2.33 billion in cash, potentially enhancing dividends [2]. - The stock is considered undervalued with a high dividend yield, showing a price-to-earnings ratio of 5.0x for 2025, and is projected to have a stock value between HKD 17.62 and HKD 18.35, indicating a premium of 22.5% to 27.6% over the current price [2].
上海实业控股(00363.HK)：高速&水务基本盘稳固 静待地产&烟草边际改善