- SouFun (SFUN) shares are meaningfully undervalued at current price levels
- The market is unnecessarily penalizing SFUN for its conservative 2014 guidance. Management has a consistent history of providing conservative guidance at the beginning of the year and then revising guidance upwards as the year progresses
- SFUN's multiple avenues for growth and strong competitive positioning should allow them to continue generating annual topline growth in excess of 20%
- Worries over the Chinese housing bubble appear to be overdone. For example, housing purchases in Tier 1 and Tier 2 cities over the past year have been primarily consumer-driven as opposed to investment-driven
- SFUN trades at a deep discount relative to other leading Chinese internet services stock, as well
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