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Chinese (SSE) Real Estate Industry Analysis

UpdatedMay 15, 2022
DataAggregated Company Financials
Companies134
  • 7D3.9%
  • 3M-4.6%
  • 1Y-10.5%
  • YTD-4.4%

Over the last 7 days, the Real Estate industry has dropped 3.3%, driven by a pullback from China Merchants Shekou Industrial Zone Holdings of 1.9%. Meanwhile, Vantone Neo Development GroupLtd actually outperformed within the industry, gaining 17% in the last week. However, the industry is down 11% over the past year. As for the next few years, earnings are expected to grow by 18% per annum.

Industry Valuation and Performance

Has the Chinese Real Estate Industry valuation changed over the past few years?

DateMarket CapRevenueEarningsPE
Sun, 15 May 2022CN¥1.7tCN¥2.8tCN¥40.6b19.5x
Tue, 12 Apr 2022CN¥2.0tCN¥3.0tCN¥119.3b16.6x
Thu, 10 Mar 2022CN¥1.7tCN¥3.0tCN¥144.2b12.2x
Sat, 05 Feb 2022CN¥1.8tCN¥3.0tCN¥148.7b12.6x
Mon, 03 Jan 2022CN¥1.8tCN¥3.0tCN¥158.4b13.6x
Wed, 01 Dec 2021CN¥1.7tCN¥3.0tCN¥159.2b12.3x
Fri, 29 Oct 2021CN¥1.6tCN¥3.0tCN¥180.3b11.2x
Sun, 26 Sep 2021CN¥1.8tCN¥3.0tCN¥181.8b12.7x
Tue, 24 Aug 2021CN¥1.7tCN¥3.0tCN¥181.9b12.5x
Wed, 30 Jun 2021CN¥1.8tCN¥3.0tCN¥181.9b13.9x
Sat, 03 Apr 2021CN¥1.9tCN¥2.8tCN¥197.1b14.3x
Tue, 05 Jan 2021CN¥2.0tCN¥2.7tCN¥200.3b15.7x
Fri, 09 Oct 2020CN¥2.1tCN¥2.5tCN¥209.4b16.8x
Thu, 02 Jul 2020CN¥2.1tCN¥2.5tCN¥207.1b19.3x
Sun, 05 Apr 2020CN¥1.9tCN¥2.4tCN¥210.1b16.4x
Wed, 08 Jan 2020CN¥2.3tCN¥2.4tCN¥221.9b17.9x
Tue, 01 Oct 2019CN¥2.0tCN¥2.3tCN¥218.1b12.4x
Fri, 05 Jul 2019CN¥2.2tCN¥2.2tCN¥216.3b12.5x
Median PE Ratio

14.5x


Total Market Cap: CN¥2.1tTotal Earnings: CN¥203.3bTotal Revenue: CN¥2.1tTotal Market Cap vs Earnings and Revenue0%0%0%
Chinese Real Estate Industry Median PE3Y Average 14.9x202020212022
Current Industry PE
  • Investors are relatively neutral on the industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 14.9x.
Past Earnings Growth
  • The earnings for companies in the Real Estate industry have declined 41% per year over the last three years.
  • Meanwhile revenues for these companies have grown 11% per year.
  • This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.

Industry Trends

Which industries have driven the changes within the Chinese Real Estate industry?

CN Market3.56%
Real Estate3.85%
Real Estate3.93%
Real Estate Services12.40%
Real Estate Operating Companies7.66%
Diversified Real Estate6.05%
Real Estate Development3.11%
Industry PE
  • Investors are most optimistic about the Real Estate Operating Companies industry even though it's trading below its 3-year average PE ratio of 34.3x.
  • Analysts are expecting annual earnings growth of 15%, which is lower than the prior year's growth of 17% per year. So the market might believe that analysts are underestimating future growth.
  • Investors are most pessimistic about the Real Estate Services industry, which is trading below its 3-year average of 19.4x.
Forecasted Growth
  • Analysts are most optimistic on the Real Estate Services industry, expecting annual earnings growth of 62% over the next 5 years.
  • This is better than its past earnings growth rate of 19% per year.
  • In contrast, the Real Estate Operating Companies industry is expected to see its earnings grow by 15% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
600246 Vantone Neo Development GroupLtdCN¥9.5017.1%
+CN¥2.7b
23.5%PB2.7x
600048 Poly Developments and Holdings GroupCN¥16.591.2%
+CN¥2.4b
21.7%PB1x
838 CASIN Real Estate Development GroupLtdCN¥8.4633.2%
+CN¥2.3b
197.9%PB7.6x
600663 Shanghai Lujiazui Finance & Trade Zone DevelopmentCN¥10.705.5%
+CN¥2.3b
-2.7%PB1.9x
926 Hubei Fuxing Science and TechnologyLtdCN¥6.5060.9%
+CN¥2.3b
43.8%PB0.5x
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