Swire Properties (1972 HK) Buy: Poised for growth

研报英文原文证据摘录

Swire Properties (1972 HK) Buy: Poised for growth

11 May 2026

Swire Properties (1972 HK) Equities REMD

Buy: Poised for growth Hong Kong

◆ Overall shopping mall business displayed continued strength MAINTAIN BUY

in 1Q, office stays soft but shows improving resilience

TARGET PRICE (HKD) PREVIOUS TARGET (HKD)

◆ Coupled with solid project pipelines and more property

30.20 30.20 bookings, its SWP earnings should resume growth in 2026e

◆ Maintain Buy with an unchanged TP of HKD30.20 SHARE PRICE (HKD) UPSIDE/DOWNSIDE

25.00 +20.8%

More signs of turnaround. Swire Properties’ 1Q26 operational update displayed (as of 08 May 2026)

continued strength in its HK and mainland China mall business despite geopolitical MARKET DATA

uncertainties. Tenant sales for most of its malls outperformed the overall market in Market cap (HKDm) 143,937 Free float 18%

Market cap (USDm) 18,385 BBG 1972 HK

mainland China (Fig 1). Signs of improvement were seen in its soft Hong Kong office 3m ADTV (USDm) 12 RIC 1972.HK

portfolio with increasing leasing activities. Seven of its commercial projects are on track

FINANCIALS AND RATIOS (HKD)

to complete in 2026-27 by phases under its HKD100bn investment plan. Together with Year to 12/2025a 12/2026e 12/2027e 12/2028e

more bookings in its residential projects starting from 2026e, we expect SWP’s HSBC EPS 1.49 1.48 1.44 1.43

HSBC EPS (prev) 1.49 1.48 1.44 1.43

underlying earnings (excluding divestment) to regain momentum. Maintain Buy. Change (%) 0.0 0.0 0.0 0.0

Consensus EPS 1.21 1.40 1.43 1.55

Strong momentum in its shopping mall portfolio. All SWP’s shopping malls in HK PE (x) 16.7 16.9 17.3 17.5

and mainland China posted positive tenant sales growth on a y/y basis in 1Q. Of Dividend yield (%) 4.6 4.8 5.0 5.2

EV/EBITDA (x) 15.6 14.8 16.4 16.0