Movement Alert|LOPAL TECH Rises 5.46% in Regular Trading, Lithium Battery Production Surge and Turnaround Earnings Fuel Oversold Rebound

Market Focus07-23 10:14

On July 23, LOPAL TECH rose 5.46% in regular trading, trading at 10.07 HKD/share, with turnover of 32.74 million HKD.

On the news front, lithium battery supply chain production scheduling has increased significantly in recent weeks, with widespread positive H1 earnings across the sector lifting market expectations for lithium battery industry prosperity. The company previously issued an H1 earnings forecast projecting net profit attributable to shareholders of RMB 373 million to 448 million, representing an increase of RMB 458 million to 533 million year-over-year and a swing from loss to profit. The company attributed the turnaround to growth in revenue and sales volume in its lithium iron phosphate business, supported by robust demand from power battery and energy storage battery markets, with scale efficiencies restoring profitability.

The stock had previously declined sharply amid a lithium sector selloff driven by carbonate lithium futures falling over 24% from May highs, suggesting today's move reflects an oversold technical rebound supported by improving fundamentals.

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