The Zhitong Finance App learned that Xiaomo released a research report saying that maintaining the “increase in holdings” rating of CNOOC Properties (02669), China Overseas Group, the main shareholder, is the top ten state-owned real estate companies and has strong support. Coupled with management being more active in managing profit margin trends, they are also more aggressive in bidding for third-party projects. It is believed that the three-year profit compound annual growth rate is over 20%. The valuation is attractive, and the target price is HK$9.

According to the report, the company terminated the acquisition of communications engineering consulting services from the same company China Construction Development (00830) for 950 million yuan. The bank said that admitting mistakes is equivalent to correcting half (A fault confessed is half redressed) and believes the news is good for stock prices, because the relevant decisions reflect management's willingness to listen to investors' voices and correct mistakes. Take Baolong Commercial (09909) as an example. After announcing the termination of the acquisition of Shanghai properties from parent company Baolong Real Estate (01238) in June 2022, the stock price surged 8% in a single day, so it is expected that CNOOC Properties' stock price will also respond positively.