Although weak housing purchasing power will continue to pressure 3Q26 sector profits, we anticipate a recovery in 4Q26 driven by seasonal factors, new project launches, and increased condominium handovers. Valuations remain reasonable at an average PER of 5-8x, with an average dividend yield exceeding 6% per annum, which helps limit the downside risk for the stocks.
We maintain a "Neutral" recommendation, selecting AP as our top pick due to its consistent profit growth, strong business foundation, and attractive dividend yield. This is followed by SIRI, which stands out with a dividend yield exceeding 9% per annum. SC offers profit recovery potential in 4Q26 extending into 2027, driven by new condominium handovers. Meanwhile, LH is entering a new recovery cycle in 4Q26, supported by condominium transfers and hotel revenue, which will play a more significant role in 2027. 

Attached Documents :

Property20261109.pdf