Glonghui, March 25 | Morgan Stanley released a report stating that Longhu Group (0960.HK)'s performance for the previous year was broadly in line with expectations. Of the core profit after excluding changes in fair value, the operating and service business contributed more than 60%. Operating cash flow reached 3.5 billion yuan throughout the year, the net debt ratio fell to 56%, and the cash coverage ratio for short-term debt was 2.25 times. I believe there will be no offshore debt maturing until 2027. I believe liquidity risk is manageable. Damo pointed out that the Group's saleable resources reached 240 billion yuan this year, 55% of which are concentrated in first-tier and second-tier cities. To maintain the same level of contract sales throughout the year, the removal rate needs to increase from 56% last year to more than 70%. It believes that real estate sales will still face challenges this year. Damo slightly lowered its earnings forecast per share for 2024 to 2025, but raised the target price from HK$9.8 to HK$11.2 based on performance performance expectations, strong core profit, and financial ability to beat expectations, maintaining an “gain” rating.