0405 GMT - New World Development's robust property sales in Hong Kong and gradual price increases are likely to support long-term margin recovery for the property company, says Morningstar's Jeff Zhang in a note. He reckons the company has effectively leveraged favorable property market conditions in the city to boost its sales. The analyst expects its operating margins could reach 35%, materially higher than FY 2025's 21.3%. The company could also accelerate its noncore asset sales to ease debt-repayment pressure, he adds. Morningstar retains its 6.60 Hong Kong dollars fair-value estimate, and expects stronger property sales in FY 2026. Shares are 1.3% lower at HK$7.37. (megan.cheah@wsj.com)
(END) Dow Jones Newswires
June 11, 2026 00:05 ET (04:05 GMT)
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