Monday, February 16

A Look At China Resources Land (SEHK:1109) Valuation After Recent Share Price Momentum


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China Resources Land (SEHK:1109) has drawn investor attention after recent share price moves, with the stock showing mixed short term returns but a stronger year to date and one year total return profile.

See our latest analysis for China Resources Land.

At a share price of HK$30.96, China Resources Land has seen a 5.81% 1 month share price return and an 11.69% year to date share price return. Its 1 year total shareholder return of 29.57% suggests momentum has been building over a longer stretch.

If this has you thinking about where else capital could work hard, it might be a good time to scan our list of 102 top founder-led companies for fresh ideas beyond large cap property names.

With China Resources Land trading at HK$30.96 and data pointing to a potential intrinsic and analyst target discount, the key question is whether the stock still offers value or if the market is already pricing in future growth.

On the numbers available, China Resources Land looks inexpensive on earnings, with a P/E of 7.2x at a share price of HK$30.96 and several valuation checks pointing to a discount.

The P/E ratio compares what you pay today for each unit of earnings, so a lower P/E can indicate the market is applying a cheaper earnings tag than it does to similar companies.

For China Resources Land, several indicators line up on the side of value. It is assessed as trading at 42.5% below an estimated fair value, and the SWS DCF model suggests the shares at HK$30.96 sit below an estimated future cash flow value of HK$53.81. In addition, its P/E of 7.2x is described as good value versus both the Hong Kong real estate industry average of 14.8x and a peer average of 20x. It also sits well below an estimated fair P/E of 15.4x that the market could move towards if sentiment and fundamentals stay aligned with that benchmark.

Compared to the wider Hong Kong real estate space, this combination of a low current P/E, a higher fair P/E indication and a DCF estimate above the current price suggests the market is currently assigning a relatively cautious earnings multiple to China Resources Land versus what these models imply.

Explore the SWS fair ratio for China Resources Land

Result: Price to earnings of 7.2x (UNDERVALUED)

However, you also have to weigh risks such as the annual revenue contraction of 2.09% and any shift in investor appetite toward Hong Kong real estate names.

Find out about the key risks to this China Resources Land narrative.

Those earnings based checks point to value, but our DCF model also suggests China Resources Land at HK$30.96 trades below an estimated future cash flow value of HK$53.81, which implies the shares may be undervalued. The real question for you is which signal you trust more: the market price or the cash flow model.

Look into how the SWS DCF model arrives at its fair value.

1109 Discounted Cash Flow as at Feb 2026
1109 Discounted Cash Flow as at Feb 2026

Simply Wall St performs a discounted cash flow (DCF) on every stock in the world every day (check out China Resources Land for example). We show the entire calculation in full. You can track the result in your watchlist or portfolio and be alerted when this changes, or use our stock screener to discover 230 high quality undervalued stocks. If you save a screener we even alert you when new companies match – so you never miss a potential opportunity.

If you see the numbers differently or simply prefer to test your own assumptions, you can pull the data together and build a custom view in just a few minutes: Do it your way.

A great starting point for your China Resources Land research is our analysis highlighting 5 key rewards and 1 important warning sign that could impact your investment decision.

If you stop with just one stock, you risk missing other opportunities that might suit your goals or risk comfort even better.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include 1109.HK.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com



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