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1 Equity Research 股票研究 Morning Research Department 今晨焦点证券研究报告 Equity Research Report Morning Table of Contents 目录 Industry and Company Focus 行业和公司焦点 14 September 2017 Country Garden (02007 HK): Contracted Sales soared by 112.2% YoY to RMB Bn During Jan.-Aug 碧桂园 (02007 HK): 2017 年 1-8 月合约销售同比猛增 112.2% 至 3,806.7 亿元人民币 Shenzhen Invest (00604 HK): Contracted Sales Decreased by 36.0% YoY to RMB9.960 Bn During Jan.-Aug 深圳控股 (00604 HK): 2017 年 1-8 月合约销售同比下降 36.0% 至 亿元人民币 Modern Land (01107 HK): Entered Into A Strategic Cooperation Agreement With Yango Group 当代置业 (01107 HK): 与阳光城集团订立战略合作协议 Dongfeng Motor (00489HK): Overall Vehicles Sales Increased 15.8% YoY in August 2017 东风汽车 (00489HK):2017 年 8 月整体汽车销售同比上升 15.8% Huaneng Renewables (00958 HK): Wind power generation in August increased by 15.0% YoY; estimated wind utilisation hours was up by 12.4% YoY 华能新能源 (00958 HK):8 月份风电发电量同比增长 15.0%, 估算利用小时数同比升 12.4% COSCO SHIPPING Ports (01199 HK): Proposed Acquisition for 76% of APM Terminals Zeebrugge NV 中远海运港口 (01199 HK): 拟收购 APM Teminals Zeebrugge 76% 股权 CMP (00144 HK): Proposed Acquisition of 51% Interest in Zhongshan Port Group 招商局港口 (00144 HK): 拟收购中山港集团 51% 股权 Latest Reports 最新报告摘要 Nil. Appendices:Chinese Version of the Industry and Company Focus, Latest Reports. 后附 : 行业和公司焦点, 最新报告摘要中文版 See the last page for disclaimer Page 1 of 11

2 Morning HSI Performance HSCEI Performance 29,000 16,000 27,000 25,000 23,000 21,000 19,000 14,000 12,000 10,000 8,000 17,000 Sep/16 Dec/16 Mar/17 Jun/17 Sep/17 Source: Bloomberg 6,000 Sep/16 Dec/16 Mar/17 Jun/17 Sep/17 Source: Bloomberg Industry and Company Focus Country Garden (02007 HK): Contracted Sales soared by 112.2% YoY to RMB Bn During Jan.-Aug Analyst: Van Liu What happened: Country Garden ( the Company ) has announced its Aug. contracted sales as follows: Currency (Bn RMB) YoY MoM Unit (sq.m) YoY MoM Aug. Contracted Sales Aug. Contracted ASP (RMB/sq.m) Contracted Sales Contracted ASP (RMB/sq.m) Source: the Company % 4.0% Aug. Contracted GFA Sold 9, % -5.7% % n.a. 9, % n.a. Contracted GFA Sold 5,170, % 10.2% 42,120, % n.a. Comments and Views: Contracted sales in Aug represented strong growth and recorded a 55.8% YoY increase, which is in line with our expectations. The Company has achieved 76.1% of its revised up sales target in The contracted sales and contracted sales GFA attributable to owners of the Company amounted to RMB bn and mn sq.m, respectively. Policy tightening will cool the property market in 2H17. However, with the pipelines for rigid demands in tier-1 and tier-2 cities and for improving demands in tier-3 and tier-4 cities, we think the Company s contracted sales to maintain a strong upside momentum and is able to exceed the 2017 sales target. Investment suggestion: The Company s contracted sales could maintain higher growth than the sector average. Moreover, net gearing ratios are expected to remain at a healthy level. Recent share buyback support share price as well. The Company s current investment rating is Buy and the target price is HK$12.07, which implies a 35% discount to its 2017E NAV and also implies 12.4x underlying 2017 PER and 2.6x 2017 PBR. We will revise up our target price and overview our investment rating in our next company report. See the last page for disclaimer Page 2 of 11

3 Morning Shenzhen Invest (00604 HK): Contracted Sales Decreased by 36.0% YoY to RMB9.960 Bn During Jan.-Aug Analyst: Van Liu What happened: Shenzhen Invest ( the Company ) has announced its Aug. contracted sales as follows: Currency (Bn RMB) YoY MoM Unit (sq.m) YoY MoM Aug. Contracted Sales Aug. Contracted ASP (RMB/sq.m) % -9.8% Aug. Contracted GFA Sold 20, % 47.1% 22, % -38.7% Contracted Sales % n.a. Contracted GFA Sold 455, % n.a. Contracted ASP (RMB/sq.m) Source: the Company. 22, % n.a. Comments and Views: Contracted sales in Aug represented a 53.5% YoY decrease and a 9.8% MoM decrease. The Company has achieved 52.1% of 2017 sales target. The degree of policies tightening has hit the historic high. The Company delayed the launches of its saleable resources. Investment suggestion: Overall, Contracted sales are likely to record YoY decrease. However, rental income is expected to record strong growth. A quality land bank can stabilize the Company s gross margins. Funding costs are likely to remain at low levels. Successful lands disposals will lead to profit accretion. The Company s current investment rating is Buy and the target price is HK$4.33, which implies a 51% discount to its 2017E NAV and also implies 10.6x 2017 underlying PER and 0.9x 2017 PBR. Modern Land (01107 HK): Entered Into A Strategic Cooperation Agreement With Yango Group Analyst: Van Liu What happened: Modern Land ( the Company ) entered into a strategic cooperation agreement with Yango Group on 11 Sep Under the strategic cooperation agreement, the parties agreed to fully capitalise their respective strengths in the residential property industry and cooperate in property development projects nationwide. Yango Group was principally engaged in real estate development. It covers four areas of investment and operation, including real estate development, commercial operation, property services and early childhood education. Comments and Views: The Company specialized in green pipeline development but was weak in land acquisition initiatives. Yango Group has sufficient land banks reserves and possesses strong land acquisition abilities. Therefore, this stragegic cooperation could bring positive synergies for both companies. Investment suggestion: We think the degree of slowing down of contracted sales is supposed to be lower than that of the property sector average due to its green product pipelines. Moreover, the Company s updated energy-saving and heating and cooling systems should provide a higher premium on its products. Meanwhile, the Company's valuation is attractive. Currently, our investment rating is Buy and the target price is HK$2.12, which represents a 60% discount to its 2017E NAV and also implies 7.6x 2017 underlying PER and 0.9x 2017PBR. See the last page for disclaimer Page 3 of 11

4 Morning Dongfeng Motor (00489HK): Overall Vehicles Sales Increased 15.8% YoY in August 2017 Analyst: Toliver Ma What happened: Dongfeng Motor ( DFM ) announced its August 2017 sales data. Overall vehicle sales recorded a yoy increase of 15.8%. PV sales was 220,566 units, a yoy increase of 13.1%, whereas CV sales was 34,778 units, a yoy increase of 36.1%. In 1-8M17, overall sales reached 1,955,539 units, a yoy increase of 5.4%. Comments and Views: Sales growth speed up in August, attributable to the strong Japanese brand sales. Dongfeng Honda grew 51.0% yoy, driven by the brand new CR-V with sales of 15,000 in the retail end. Other key names such as Civic and XR-V also in high demand since launch earlier this year. DF Nissan sales increased 17.8% yoy in Aug Sales growth was supported by new generation X-trail and facelift Qashqai. Moreover, the new small size SUV, Kick, was well received by the market, sales rise above 10,000 in just second month of launch. On the other hand, Dongfeng PSA remains the biggest drag in the PV units, sales down 31.8% yoy. In CV segment, growth continued to outpace PV sales growth, mainly driven by the strong demand from HDT, which recorded yoy increase of 73.6% yoy in Aug Moreover, sales of LDT speed up, which has increased 31.5% yoy. Investment suggestion: Japanese brand growth faster than expected but recovery of DF PSA still uncertain, and should continue to hamper profit growth. Our investment rating is Neutral, with TP of HK$10.54, representing 5.5x 2017 PER, 5.2x 2018 PER, 0.65x 2017 PBR and 0.59x 2018 PBR. Huaneng Renewables (00958 HK): Wind power generation in August increased by 15.0% YoY; estimated wind utilisation hours was up by 12.4% YoY Analyst: Jake Wang What happened: Huaneng Renewables ( the Company ) announced its power generation figures in August 2017: Power gen. (GWh) Aug YoY Jan.-Aug YoY Wind 1, % 13, % Solar % % Total 1, % 14, % Source: the Company. Comments and Views: In Aug the Company s wind power generation increased by 15.0% to 1,110GWh, estimated monthly wind power utilisation was 108 hours, up by 12 hours or 12.4% compared to the same period last year. The Company s accumulated wind utilisation hours for Jan. - Aug. was estimated to be 1,322 hours, up by 97 hours or 7.9% YoY. Wind resources had decreased during Aug. 2017; the Company s provincial capacity weighted average wind speed decreased 3.8% YoY to 4.53m/s (the monthly wind speed for Inner Mongolia, Shandong and Liaoning Province decreased 4.0%, 4.9% and 12.1%, respectively). Investment suggestion: The Company s utilisation performance in August was slightly better than our expectation. Because wind resources were weakening in areas where the Company deployed the majority of its wind capacities, the YoY change in the Company s utilisation hours was worse than the 17.0% YoY increase of its peer Longyuan Power (00916 HK). The Company's wind curtailment rate has been continuously improving, which might help mitigate the impact from on-going poor wind resources. We maintain our current Buy rating for Huaneng Renewables, and TP is HK$3.30. See the last page for disclaimer Page 4 of 11

5 Morning COSCO SHIPPING Ports (01199 HK): Proposed Acquisition for 76% of APM Terminals Zeebrugge NV Analyst: Spencer Fan What happened: On September , COSCO SHIPPING Ports ( CS Ports or the Company ) announced to purchase 76% of APMTZ at a maximum consideration of EUR35 mn, while APMTZ operates the Zeebrugge terminal in Belgium. Current share capital structure of APMTZ is owned as to 24%, 51%, and 25% by CS Ports, APM Terminals and SIPG ( SH). To close the deal, APM Terminals will first acquire APMTZ from SIPG, and sell the combined 76% shares to CS Ports. By then, CS Ports will own 100% of AMPTZ. Comments and views: As Belgium s second largest port, APMTZ has favorable geographic location (close to Hamburg, Germany and Great Britain). It is also the transportation hub, having a good network of road and rail connections to all countries of the Continental Europe. As a natural deep-water habour to satisfy mega-vessels calling needs. The transaction will allow the Company to effectively tract the future routes development of parent company COSCO SHIPPING Holdings ( CSH, HK) container shipping business in Northwest Europe, and maximize the synergies with the OCEAN Alliance by providing high quality and efficient services. Under the IFRS standard, APMTZ s net loss after tax was EUR4.734 mn for 2016 with net assets amounted at EUR mn by the end of Investment suggestion: Maintain investment rating of Accumulate and TP of HK$9.23. CS Ports is effectively executing its strategy to develop a comprehensive and well-balanced global terminals network. Although the terminal recorded a loss in 2016, the transaction marked CS Ports footstep in Northwest Europe. As Europe s economy gradually recovers (Eurozone s July/August 2017 s Markit PMI were 51.8/51.7), cargo trade activities will increase, which will benefit CS Ports European operations in the long term. CMP (00144 HK): Proposed Acquisition of 51% Interest in Zhongshan Port Group Analyst: Spencer Fan What happened: On September , China Merchants Port ( CMP or the Company ) announced to acquire 51% s equity interest in Zhongshan Port Group for a total consideration of RMB484.5 mn. Comments and views: CMP have been actively searching for M&A opportunities to add new growth drivers to its existing port business. Acquisition of Zhongshan Port Group will allow CMP to control port assets in Zhognshan, and further strengthen CMP s port network and strategic synergy of port resources in the Pearl River Delta region. In our view, CMP s layout in the Guangdong-Hong Kong-Macau Greater Bay Area will become more diversified after this acquisition. With its Western Shenzhen homebase located on the East coast of Pearl River Delta, west coast s Zhongshan Port might leverage to increase its calling routes to draw additional cargos. Zhongshan Port s 2016 profit after tax was RMB75.8 mn, implying a 12.5x 2016 acquisition PER and 2.0x 2016 PBR, which we believe is a fair valuation considering CMP s current 13.2x 2016 PER. Investment suggestion: Maintain investment rating of Buy and TP of HK$ Current valuation is still attractive. CMP s synergies in Pearl River Delta might increase, and we favor CMP s corporate governance to consolidate its Pearl River delta s operation. Latest Reports Nil. See the last page for disclaimer Page 5 of 11

6 Morning Chinese Translation 中文翻译 行业和公司焦点 碧桂园 (02007 HK): 2017 年 1-8 月合约销售同比猛增 112.2% 至 3,806.7 亿元人民币 分析员 : 刘斐凡 事件描述 : 碧桂园 ( 公司 ) 公布了 8 月合约销售情况, 如下 : 货币单位 ( 十亿人民 币 ) 同比 环比 单位 ( 平方 米 ) 同比 环比 8 月合约销售额 8 月合约销售均价 ( 人民币 / 平方米 ) 1-8 月合约销售额 1-8 月合约销售均价 ( 人民币 / 平方米 ) 资料来源 : 公司 % 4.0% 8 月合约销售 面积 9, % -5.7% % n.a. 1-8 月合约销 售面积 9, % n.a. 5,170, % 10.2% 42,120, % n.a. 观点评论 :2017 年 8 月合约销售展现强劲增长并录得同比上升 55.8%, 符合我们预期 公司已完成 2017 年经上调销售目标的 76.1% 本公司权益所有人应占之合约销售金额和合约销售面积分别为人民币 2,744.3 亿元及 3,174 万平米 政策收紧会在 2017 年下半年冷却房地产市场 然而, 随着在一二线城市刚需的产品线以及在三四线改善型需求的产品线, 我们认为公司合约销售很有可能保持强劲上升势头并能够超过 2017 年销售目标 投资建议 : 公司的合约销售能够录得高于行业平均的增长 另外, 净资产负债率预计维持在健康水平 而近期的股份回购也支撑股价 公司目前投资评级为 买入, 目标价为 港元, 相当于其 2017 年 NAV 有 35% 的折让, 也相当于 12.4 倍 2017 年的核心市盈率和 2.6 倍 2017 年的市净率 我们将在下一篇公司报告中上调我们的目标价并检讨我们的投资评级 深圳控股 (00604 HK): 2017 年 1-8 月合约销售同比下降 36.0% 至 亿元人民币 分析员 : 刘斐凡 事件描述 : 深圳控股 ( 公司 ) 公布了 8 月合约销售情况, 如下 : 货币单位 ( 十亿人民 币 ) 同比 环比 单位 ( 平 方米 ) 同比 环比 8 月合约销售额 % -9.8% 8 月合约销售 面积 22, % -38.7% See the last page for disclaimer Page 6 of 11

7 Morning 8 月合约销售均价 ( 人民币 / 平方米 ) 1-8 月合约销售额 1-8 月合约销售均价 ( 人民币 / 平方米 ) 资料来源 : 公司 20, % 47.1% % n.a. 1-8 月合约销 售面积 22, % n.a. 455, % n.a. 观点评论 : 合约销售在 2017 年 8 月同比下降 53.5%, 环比下降 9.8% 公司已经完成了 2017 年销售目标的 52.1% 政策收紧程度达到了历史新高 公司延缓了可售资源的推盘 投资建议 : 总体而言, 合约销售很有可能录得同比下降 租金收入将录得强劲增长 有质量的土储能够稳定其毛利率 融资成本很有可能维持一个低水平 成功土地处置将会带来净利增厚 公司目前投资评级为 买入, 目标价为 4.33 港元, 相当于 2017 年 NAV 有 51% 的折让, 也相当于 10.6 倍 2017 年的核心市盈率和 0.9 倍 2017 年的市净率 当代置业 (01107 HK): 与阳光城集团订立战略合作协议分析员 : 刘斐凡 事件描述 : 当代置业 ( 公司 ) 在 2017 年 9 月 11 日与阳光城集团订立战略合作协议 根据战略合作协议, 订约方同意, 在住宅产业领域充分发挥各自的优势, 就全国范围内各房地产项目展开合作 阳光城集团主要从事房地产开发, 其业务涵盖地产开发 商业运营 物业服务以及幼儿教育的投资和运营管理四大领域 观点评论 : 公司专注于绿色产品线开发但是拿地能力不强 而阳光城拥有丰富的土地资源储备且拥有强大的拿地能力 因而, 此次合作可以为双方带来正面的协同效用 投资建议 : 由于其绿色产品线, 我们认为合约销售的下降程度应会低于地产行业平均 而公司升级后的节能和加热冷却系统应该能够为公司的产品提供更高的溢价 与此同时, 公司估值吸引 目前, 我们的投资评级为 买入, 目标价为 2.12 港元, 相当于 2017 年 NAV 有 60% 的折让, 也相当于 7.6 倍 2017 年的核心市盈率和 0.9 倍 2017 年的市净率 东风汽车 (00489HK):2017 年 8 月整体汽车销售同比上升 15.8% 分析员 : 马守彰 事件描述 : 东风汽车公布其 2017 年 8 月的销售数据, 整体汽车销售同比上升 13.1% 乘用车销量为 220,566 辆, 同比增长 13.1%; 商用车销量为 34,778 辆, 同比上升 36.1% 2017 年 8 月度累计整体销量为 1,955,539 台, 同比增长 5.4% 观点评论 : 受日本品牌销售推动,8 月份增长加快 东风本田同比增长 51.0% 其中, 全新 CR-V 带动销售, 终端销售达到 1.5 万辆 而今年初推出的其他车型, 如思域和 XR-V 需求继续保持旺盛 东风日产销售同比增长 17.8% 新奇骏和改款逍客继续支撑销售增长 此外, 新推出的小型 SUV( 劲客 ) 受市场欢迎, 销量在推出的第二个月已录得 1 万辆销售 在商用车分部, 增长继续超过乘用车, 主要受重卡需求持续的推动,8 月同比增长 73.6% 此外, 轻卡的销售加快, 同比增长 31.5% 投资建议 : 日本品牌增长速度超过预期, 但东风神龙复苏仍然不确定, 并将继续阻碍利润增长 目前公司的的投资评级为 中性 及 港元的目标价, 相当于 5.5 倍 2017 年市盈率和 5.2 倍 2018 年市盈率, 0.65 See the last page for disclaimer Page 7 of 11

8 Morning 倍 2017 年市净率和 0.59 倍 2018 年市净率 华能新能源 (00958 HK):8 月份风电发电量同比增长 15.0%, 估算利用小时数同比升 12.4% 分析员 : 汪昌江 事件描述 : 华能新能源 ( 公司 ) 公布 2017 年 8 月发电量 : 发电量 (GWh) 2017 年 8 月同比 2017 年首 8 个月同比 风电 1, % 13, % 太阳能 % % 合计 1, % 14, % 资料来源 : 公司 观点评论 :2017 年 8 月份公司风电发电量同比增长 15.0% 至 1,110GWh, 估算的风电当月利用小时为 108 小时, 较去年同期增加 12 小时或 12.4% 公司 1 月至 8 月的累计利用小时数估计为 1,322 小时, 同比上 升 97 小时或 7.9% 8 月份风资源情况有所减弱, 公司各省装机容量加权的平均风速同比下降 3.8% 至 4.53 米 / 秒 ( 内蒙古 山东和辽宁省的当月风速分别同比降 4.0% 4.9% 和 12.1%) 投资建议 : 公司 8 月份的风电利用小时数表现略好于我们预期 但由于风资源减弱的地区主要为公司装 机容量分布较多的省份, 公司利用小时数的同比增速弱于其同业龙源电力 (00916 HK) 同期 17.0% 的增 长 公司的风电限电率持续改善, 有助于抵消风况持续不佳带来的影响 我们维持目前对华能新能源的 买 入 评级, 目标价为 3.30 港元 中远海运港口 (01199 HK): 拟收购 APM Teminals Zeebrugge 76% 股权分析员 : 范明 事件描述 :2017 年 9 月 11 日, 中远海运港口 ( 公司 ) 宣布将以不超过 3,500 万欧元的对价收购比利时 APMTZ 76% 的股权,APMTZ 在比利时经营泽布吕赫集装箱码头 目前,APMTZ 的股权的 24% 51% 及 25% 分别归属中远海运港口 马士基码头以及上港集团 ( SH) 为完成本次交易, 马士基码头将先收购上港集团所持 25% 的股份, 再一并将 76% 的股份售予公司 届时, 中远海运港口将持有泽布吕赫码头 100% 的股权 观点评论 : 泽布吕赫港是比利时第二大港口, 地理位置优越, 毗邻德国汉堡和英国 泽布吕赫港同时也拥有铁路网络, 是可以连接并通往欧洲大陆所有国家的交通枢纽 作为天然深水港, 泽布吕赫港可满足大型船舶的挂靠需求 本次交易将使得公司有效地跟踪母公司中远海控的集装箱船队未来在西北欧的航线业务, 并最大程度发挥与海洋联盟的协同效应, 为船运公司提供更加优质高效的服务 在国际会计准则下, 泽布吕赫码头 2016 年的税后净亏损达 万欧元, 资产净值为 5,393.4 万欧元 投资建议 : 维持 收集 投资评级及 9.23 港元目标价 中远海运港口正有效地执行其战略, 打造优质均衡的全球码头网络 尽管该码头 2016 年历经亏损, 但本次交易标志着公司开启了西北欧业务 欧洲经济逐步复苏 (2017 年 7 月及 8 月的 Markit 制造业经理人指数分别为 51.8 及 51.7), 货品贸易将升温, 长期利好中远海运港口欧洲业务 招商局港口 (00144 HK): 拟收购中山港集团 51% 股权分析员 : 范明 事件描述 :2017 年 9 月 11 日, 招商局港口 ( 公司 ) 宣布将以人民币 亿元收购中山港集团 51% See the last page for disclaimer Page 8 of 11

9 Morning 的股权 观点评论 : 招商局港口正积极寻找收购机会, 以为其现有的港口业务增加新的增长动能 本次收购后, 招商局港口将控股广东省中山市的港口资产, 并进一步增强公司位于珠江三角洲地区的港口网络和战略协同 在我们看来, 本次交易后招商局港口在粤港澳大湾区的布局正变得越来越多元化 考虑到公司的深圳西部母港位于珠江口的东海岸线, 位于西海岸线的中山港在未来有望借势增添更多挂靠航线以更多吸引货源 中山港集团 2016 年税后利润为人民币 7,580 万元, 对应了 12.5 倍的 2016 年收购市盈率及 2.0 倍的 2016 年市净率, 对比公司目前的 13.2 倍 2016 年市盈率, 我们认为估值合理 投资建议 : 维持 买入 投资评级及 港元目标价 公司目前估值仍旧吸引 招商局港口位于珠三角地区的协同效应空间有望增加, 同时我们看好公司在整合其珠三角业务过程中发挥的企业管治 最新报告 Nil. See the last page for disclaimer Page 9 of 11

10 Morning Research Department 研究部 Grace Liu 刘谷 Head of Research, Market Strategy, Petrochemicals 主管, 市场策略 石化 (852) Noah Hudson Noah Hudson Consumer (Hotels), Gaming 消费 ( 酒店 ) 博彩 [email protected] (86755) Gary Wong 黄家玮 Environmental Protection, Infrastructure 环保 基建 [email protected] (852) Square Chui 徐惠芳 Futures 期货 [email protected] (852) Kevin Guo 郭勇 Raw Materials, Gas 原材料 燃气 [email protected] (86755) Ricky Lai 黎柏坚 Telecommunications, Internet 电信 互联网 [email protected] (852) Richard Cao 曹柱 Banking 银行 [email protected] (86755) Jun Zhu 朱俊杰 Solar, Electric Equipment 太阳能 电力设备 [email protected] (852) Andrew Song 宋涛 Consumer (Retailing), Home Appliances 消费 ( 零售 ) 家电 [email protected] (852) Van Liu 刘斐凡 Property 房地产 [email protected] (86755) Sean Xiang 向宇豪 Machinery, Construction Materials 机械 建材 [email protected] (86755) Terry Hong 洪学宇 Consumer (Apparel) 消费 ( 服装 ) [email protected] (86755) Johnny Wong 王俊浩 Macroeconomics, Property 宏观 房地产 [email protected] (852) Toliver Ma 马守彰 Aviation, Automobiles & Components 航空 汽车 [email protected] (852) Spencer Fan 范明 Shipping & Logistics, Ports, 航运物流 港口 [email protected] (86755) Barney Wu 吴宇扬 Consumer (Food & Beverage, Household Products) 消费 ( 食品饮料 日用品 )[email protected] (86755) Gary Ching 程嘉伟 Market Strategy 市场策略 [email protected] (852) Jake Wang 汪昌江 Wind & others, Market Strategy 风电及其他 市场策略 [email protected] (86755) Wiley Huang 黄重钧 Insurance, Fixed-income 保险 债券 [email protected] (852) David Liu 刘静骁 Petrochemicals 石化 [email protected] (852) Kay Mai 麦梓琪 Health care 医药 [email protected] (86755) Danny Law 罗沛达 Research Assistant 研究助理 [email protected] (852) Gary Yang 杨光 Research Assistant 研究助理 [email protected] (852) Danny Deng 邓协 Research Assistant 研究助理 [email protected] (852) Jason Zhou 周桓葳 Research Assistant 研究助理 [email protected] (852) Esabella Zhao 赵舒蔓 Research Assistant, Translator 研究助理 翻译员 [email protected] (86755) Penny Pan 潘凌蕾 Secretary, Translator 秘书 翻译员 [email protected] (852) See the last page for disclaimer Page 10 of 11

11 Morning Company Rating Definition The Benchmark: Hong Kong Hang Seng Index / NASDAQ Composite Index Time Horizon: 6 to 18 months Rating Definition Buy Relative Performance >15%; or the fundamental outlook of the company or sector is favorable. Accumulate Relative Performance is 5% to 15%; or the fundamental outlook of the company or sector is favorable. Neutral Relative Performance is -5% to 5%; or the fundamental outlook of the company or sector is neutral. Reduce Relative Performance is -5% to -15%; or the fundamental outlook of the company or sector is unfavorable. Sell Relative Performance <-15%; or the fundamental outlook of the company or sector is unfavorable. Sector Rating Definition The Benchmark: Hong Kong Hang Seng Index / NASDAQ Composite Index Time Horizon: 6 to 18 months Rating Definition Outperform Relative Performance >5%; or the fundamental outlook of the sector is favorable. Neutral Relative Performance is -5% to 5%; or the fundamental outlook of the sector is neutral. Underperform Relative Performance <-5%; or the fundamental outlook of the sector is unfavorable. DISCLOSURE OF INTERESTS (1) Except for Shenzhen International Holdings Limited (00152 HK), the Analysts and their associates do not serve as an officer of the issuer mentioned in this Research Report. (2) The Analysts and their associates do not have any financial interests in relation to the issuer mentioned in this Research Report. (3) Except for SMI HOLDINGS GROUP (00198 HK),GUOTAI JUNAN I (01788 HK),BINHAI INVESTMENT (02886 HK),MR CSI300 ETF (03127 HK),GFI MSCI A I (03156 HK),CAM SCSMALLCAP (03157 HK),LINK HOLDINGS (08237 HK),MR CSI300 ETF-R (CNY) (83127 HK),GFI MSCI A I-R (CNY) (83156 HK),Guotai Junan and its group companies do not hold equal to or more than 1% of the market capitalization of the issuer mentioned in this Research Report. (4) Guotai Junan and its group companies have had investment banking relationships with China Minsheng Banking Corp.- H shares (01988 HK) / Huaneng Renewables- H shares (00958 HK) / Huaneng Power- H shares (00902 HK) / Charmacy Pharmaceutical- H shares (02289 HK) / Huishang Bank- H shares (03698 HK) / Xiao Nan Guo Restaurants (03666 HK) / Evergrande Real Estate (03333 HK) / GOME Electrical Appliances (00493 HK) / Dongjiang Environmental- H shares (00895 HK) / China Singyes Solar Technologies (00750 HK) / China Aoyuan Property (03883 HK) / Modern Land (01107 HK) / China Wood Optimization (01885 HK) / Anhui Conch Cement- H shares (00914 HK) / 361 Degrees (01361 HK) / SMI Holdings Group (00198 HK) / Powerlong Real Estate (01238 HK) / Tianyun International (06836 HK) / Sundart Holdings Ltd. (01568 HK) mentioned in this Research Report within the preceding 12 months. (5) Guotai Junan and its group companies are not making a market in the securities mentioned in this Research Report. (6) Guotai Junan and its group companies have not employed an individual serving as an officer of any issuers mentioned in this Research Report. There is no officer of any issuers mentioned in this Research Report associated with Guotai Junan and its group companies. DISCLAIMER This Research Report does not constitute an invitation or offer to acquire, purchase or subscribe for securities by Guotai Junan Securities (Hong Kong) Limited ("Guotai Junan"). Guotai Junan and its group companies may do business that relates to companies covered in research reports, including investment banking, investment services, etc. (for example, the placing agent, lead manager, sponsor, underwriter or invest proprietarily). Any opinions expressed in this report may differ or be contrary to opinions or investment strategies expressed orally or in written form by sales persons, dealers and other professional executives of Guotai Junan group of companies. Any opinions expressed in this report may differ or be contrary to opinions or investment decisions made by the asset management and investment banking groups of Guotai Junan. Though best effort has been made to ensure the accuracy of the information and data contained in this Research Report, Guotai Junan does not guarantee the accuracy and completeness of the information and data herein. This Research Report may contain some forward-looking estimates and forecasts derived from the assumptions of the future political and economic conditions with inherently unpredictable and mutable situation, so uncertainty may contain. Investors should understand and comprehend the investment objectives and its related risks, and where necessary consult their own financial advisers prior to any investment decision. This Research Report is not directed at, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in any jurisdiction where such distribution, publication, availability or use would be contrary to applicable law or regulation or which would subject Guotai Junan and its group companies to any registration or licensing requirement within such jurisdiction Guotai Junan Securities (Hong Kong) Limited. All Rights Reserved. 27/F., Low Block, Grand Millennium Plaza, 181 Queen s Road Central, Hong Kong. Tel.: (852) Fax: (852) Website: See the last page for disclaimer Page 11 of 11