Real Estate Sector: Opportunities Emerge After a Challenging Period
The real estate sector is now aligning all key factors: attractive valuations – clear profit prospects – limited risk of negative news.
Valuations are in an attractive range for accumulation
Following an extended period under pressure from cautious sentiment regarding supply, market liquidity, and interest rate levels, many real estate stocks have corrected to valuation levels significantly lower than their asset potential and medium-term recovery prospects.
BSC believes that current price levels have largely reflected market concerns, thereby opening up accumulation opportunities for investors with a medium- to long-term outlook.
Profit Outlook Enters the Expansion Phase of the Cycle
Along with the resolution of legal issues, the restart of supply at key projects, and signs of stabilizing interest rates, the business outlook for many real estate companies is gradually improving.
Profit prospects for 2026–2028 are expected to recover strongly thanks to project handover progress, the resumption of revenue recognition, and the establishment of a new profit base higher than the previous cycle.
There is little room left for negative news
After six months of the market continuously discounting adverse factors, BSC assesses that the risk of additional unexpected negative news emerging for the sector is no longer as significant as before.
Given that low expectations have already been heavily reflected in stock prices, the real estate sector could enter a revaluation phase as market operating conditions gradually improve toward greater stability.
Read the full "Real Estate Sector Report" by BSC to gain a deeper understanding of the sector’s landscape, profit outlook, key investment theses, and portfolio selection strategies for the coming period: Download the report.
Source: BIDV Securities (BSC)