The Zhitong Finance App learned that UBS released a research report saying that Seashell-W (02423) has recently optimized customer sources and housing allocation to help improve efficiency. The bank maintains a “buy” rating for H shares and a target price of HK$69.4.
The company implemented a revised distribution algorithm about two months ago, changing from rough average distribution to more targeted conversion of customers to agents with better performance, with the aim of improving existing traffic efficiency and providing more clear commission incentives for agents with excellent performance. Mention a more customer-centric service model, reduced administrative friction, and a greater focus on improving brokers' productivity rather than expanding the recruitment of less experienced newcomers. The bank believes that as residential property prices stabilize, Shell's operating advantages should become more obvious.
According to the bank, despite competition for traffic from social media platforms, Shell continues to strengthen the trading ecosystem through products such as “settle in” and “sell in good faith.” Experts say that the penetration rate of “Settle Down” in Shanghai has reached about 50%, which helps improve conversion; “Selling in good faith” introduces a more transparent pricing framework by setting the seller's minimum acceptable price, bargaining price, and listing price. The bank believes the two measures will help improve price discovery, align buyers' and sellers' expectations, and improve transaction execution.
Experts observed that the second-hand property market in Shanghai improved markedly after the reform of the pre-sale policy on August 28. Demand was mainly concentrated on first-time housing purchases and school-related housing. Most transactions ranged from 2 million yuan to 5 million yuan, accounting for only about 2% of transactions over 10 million yuan, indicating that the recovery was still mainly driven by demand for self-occupation. The bank believes that continued strong second-hand transactions should benefit Shell's core brokerage business and be sufficient to offset the potential weakness of the new pre-sale division.