Dongwu Securities: China Merchants Shekou's performance is expected to gradually improve, maintaining a "buy" rating.

Dongwu Securities research report pointed out that China Merchants Shekou focuses on core cities, with sufficient financial stability. In 2025, the company achieved a contracted sales amount of 196.09 billion yuan, a year-on-year decrease of 10.6%, and its industry ranking rose to fourth place. The company focuses on core cities, leading the industry in product strength, with an average sales price of 27,400 yuan per square meter in 2025, a year-on-year increase of 16.8%. It ranked among the top three in terms of total sales in 10 cities including Shanghai, Shenzhen, and Chengdu, and a total of 15 cities entered the top five in the key 30 cities nationwide. The company adheres to a strategy of focusing on core areas and determining investment through sales. In 2025, investments in the "Top 10 Core Cities" accounted for nearly 90%, with investments in first-tier cities accounting for 63% of the company's total investments. The company's financial structure remains stable, with financing costs continuously decreasing. Against the backdrop of sustained policy efforts and gradual stabilization of the industry, the company relies on the credit advantages of central enterprises, with stable investment and performance expected to gradually recover. The "buy" rating is maintained.