CHINA OVERSEAS(00688) 国泰君安·2024-05-28 03:31Investment Rating - The report maintains a "Buy" rating for China Overseas Development (0688) [4]. Core Views - The company reported a month-on-month decline in sales in April, but there is an expectation for gradual improvement in sales performance due to supportive policies [2][3]. - The investment intensity for land acquisition has been weak overall in 2024, with a cautious approach being maintained [2][3]. Summary by Relevant Sections - Sales Performance: In the first four months of 2024, the company's cumulative sales amounted to 82 billion yuan, a year-on-year decrease of 30.3%. The cumulative sales area was 2.96 million square meters, down 46.3% year-on-year. However, the company ranked first in the industry for equity sales during this period [3]. - Price Trends: The average selling price in April returned to 23,350 yuan per square meter, following a spike in March due to luxury home sales. The average price in March reached nearly 40,000 yuan per square meter [3]. - Land Acquisition: No new land reserves were added in April, and the land investment intensity for the first four months was only 2%. The total land acquisition amount was 1.6 billion yuan, ranking the company 45th in the industry [3]. - Future Expectations: The report anticipates that the supportive policies, including government purchases, removal of purchase restrictions, and reduced loan rates, will lead to improved sales performance in the coming months [3]. - Earnings Forecast: The report maintains the earnings per share (EPS) estimates for 2024-2026 at 2.41 yuan, 2.62 yuan, and 2.89 yuan respectively [3].