Deutsche Bank maintained the “buy” rating of Jianye Real Estate (00832-HK), with a target price of 4.13 yuan unchanged. According to a report released by Deutsche Bank, on the 24th of this month, Jianye Real Estate announced that contract sales so far this year have exceeded 10 billion yuan, achieving 111% of this year's annual sales target. The company's sales area so far this year has reached 1.57 million square meters. Jianye Real Estate's contract sales last year were RMB 8.124 billion, with a total construction area of 1,328,000 square meters. The company's sales and sales area increased by 23% and 18% year-on-year respectively this year. According to management guidelines, Jianye Real Estate is the first developer in Henan Province with contract sales exceeding RMB 10 billion. Deutsche Bank believes that Jianye Real Estate is ready for another year of strong sales. Based on the bank's analysis, Jianye Real Estate's marketable land resources next year are RMB 20-21 billion. Even using a relatively conservative forecast of a sales rate of 60%, Jianye Real Estate can maintain a strong sales trend next year. Deutsche Bank said that since its listing, Proposed Real Estate has proven itself to be a high-quality developer. Although the market capitalization is relatively small, the company's contract sales in the past four years have all exceeded its target. Jianye Real Estate's current transaction margin is 67% of its net asset value, which is 2.9 times the predicted price-earnings ratio for next year and 0.7 times the market account ratio. As the company continues to maintain strong sales execution and asset turnover, the company expects that the share's concession to net asset value and market account ratio will narrow. Deutsche Bank also pointed out that so far this year, Jianye Real Estate has a total of 9 new projects in Henan Province, totaling 1,315 billion yuan. Deutsche Bank believes that since Jianye Real Estate has large land reserves (over 1,400 square meters) and low land costs (mid-2012:673 yuan per square meter), the company is well positioned in the next round of the real estate boom cycle.