J.P. Morgan China/HK FTM 9 Jun 26 Victory Giant Technology - H; China Auto Industry; Machinery & HDT; Hong Kong Property; HSBC & STAN

研报英文原文证据摘录

J.P. Morgan China/HK FTM 9 Jun 26 Victory Giant Technology - H; China Auto Industry; Machinery & HDT; Hong Kong Property; HSBC & STAN

Asia Pacific Equity Research AC Asia Pacific Equity Research

09 June 2026 J P M O R G A N

aprr.publications@jpmorgan.com

conservancy—while property-related drag is fading at the margin and mid-sized excavator sales are

improving.

Hong Kong Property (Karl Chan)

After one overhang, here comes another one

Over the past 2 weeks, the sector has underperformed the HSI by 7% due to concerns over tighter capital

outflow controls in Mainland China (more discussion in our reports on 29 May and 3 Jun). Then, over the

weekend, a new overhang emerged: the reignited concerns about rate hikes (driven by strong US labor

data). While we do not think these two overhangs alone will derail the housing market recovery (home prices

have jumped 9.6% YTD (Figure 4), and we maintain our full-year forecast of 10-15% for FY26), the

uncertainties will likely weigh on sentiment for a while, and thus we expect the sector to face some near-

term pressure. However, we remain constructive on the HK housing market as we believe it is more driven

by the strength in the financial industry & inventory (report), though only continually solid data (e.g. prices/

sales volume/sell-through rates) will abate investors’ concerns. In the near term, we believe Sino& CKAmay

relatively outperform due to net cash, while Henderson may underperform as it is more affected by the two

overhangs (Henderson is more exposed to Kai Tak (Figure 3) and more sensitive to rates (Figure 6)).

Meanwhile, SHKP may also be prone to profit-taking due to its still-strong YTD outperformance (30% over

the HSI) (Figure 13). However, on dips, we suggest long-term investors accumulate SHKP, Sino, Swire