Yanlord

Yanlord: IIFL maintain Reduce, TP $1.07 from $1.05, management cuts 2011 sales target. Add that 9M11 results were below estimates due to lower GFA delivery, bulk of the delivery will be in 4Q when management aims to book another Rmb5b in rev.

Contracted sales were Rmb7.8b over Jan-Oct and management has cut its full year target to Rmb8.5b from Rmb11b, lower than earlier assumption of Rmb9.5b. House remain cautious on China residential and expect volumes to drop 10-20% and prices to drop by 20-30% in tier-1 and 10-20% in tier-2 cities over FY11-13. Grp trades at 0.7x FY11 P/B and 41% discount to FY12 RNAV.