Longfor Group's stock soared 5.07% intraday on Friday, outperforming the broader real estate sector.
The significant upward movement follows the absorption of selling pressure related to the company's recent scrip dividend scheme. Additionally, recent policy easing measures, including Shenzhen's relaxation of housing purchase restrictions and increase in provident fund loan limits, have boosted sentiment for the property sector. Multiple other cities also implemented supportive property market policies during the recent holiday period, contributing to recovering market confidence and increased transaction volumes in both new and existing home markets.
Analysts note that while the property market recovery may experience fluctuations, leading developers currently have limited downside risk with annual report risks being released. The continuous positive marginal changes from policy support across various regions and growth in market transactions indicate significant upward potential for the sector once a consensus forms regarding a market inflection point.
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