Zoomlion (01157) rose more than 5% in afternoon trading, hitting a high of HK$8.09, marking its highest level in nearly four and a half years. At the time of writing, the stock was up 4.55% at HK$8.04, with a turnover of HK$76.8 million.
According to the China Construction Machinery Association, excavator sales in November 2025 reached 20,027 units, up 13.9% year-on-year. Domestic sales grew 9.1% to 9,842 units, while exports surged 18.8% to 10,185 units.
Caixin Securities noted that the excavator industry is experiencing synchronized growth in domestic and overseas demand in 2025, with a steady recovery trend. Domestically, large-scale national infrastructure projects continue to drive high-end demand, while equipment replacement cycles support domestic consumption. Overseas, the recovery of infrastructure and construction markets in Europe and the U.S., coupled with strong mining and infrastructure demand in Africa, has accelerated the global expansion of Chinese-made equipment.
Short-term operational indicators show sequential improvement, and long-term growth prospects remain clear, suggesting potential for enhanced profitability in the sector. Given these positive fundamental changes and long-term growth potential, the brokerage maintains an "Outperform" rating on the industry.
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