SINOLINK SECURITIES·2025-03-14 12:55Investment Rating - The report maintains a "Buy" rating for leading developers focusing on improvement-type products in core cities, expecting significant upside potential in the coming months [21]. Core Viewpoints - The real estate market is showing signs of resilience, with high viewing numbers in key cities despite slight declines in some areas. The report suggests that the market's transaction heat is likely to continue, and there is no need for excessive pessimism regarding the "small spring" performance [2][4]. - Quality property companies are currently undervalued, presenting investment opportunities. The report highlights that these companies have maintained revenue and profit growth, stable gross margins, and low debt levels, indicating a solid fundamental base [3][4]. - The report emphasizes the importance of focusing on developers that can provide quality products and services, particularly in first-tier and core second-tier cities. It suggests that if high-priced projects perform well in terms of sales, it could enhance profit margins and reshape valuations [4][18]. Summary by Sections Market Performance - On March 14, the Shenwan Real Estate Index increased by 2.0%, and the domestic property stock index rose by 4.0%, with notable performances from companies like Greentown China (+10.0%) and Yuexiu Property (+5.5%) [1]. Developer Recommendations - The report recommends focusing on leading developers in core cities that specialize in improvement-type products, such as Greentown China, China Overseas Development, and others, as they are expected to benefit from a recovering market [2][4]. Property Companies Outlook - The report indicates that quality property companies are likely to see their fundamentals validated as negative factors dissipate. It anticipates a positive outlook for the upcoming 2024 performance of these companies [3][4]. Valuation Insights - The report provides a detailed valuation analysis of various companies, indicating that many are trading at attractive price-to-earnings (PE) ratios, suggesting potential for future growth [18].