Shares of Jiaxin International Resources (03858) rose sharply in morning trading, gaining over 6%. At the time of writing, the stock was up 5.83% to HK$47.96, with a turnover of HK$42.32 million.
The catalyst for the move was an announcement from the company last night detailing a share repurchase plan for the second half of 2026, with a maximum allocation of HK$200 million. The board expressed confidence that executing this buyback demonstrates its firm belief in the company's intrinsic value and long-term prospects, and will help optimize the capital structure and enhance returns for shareholders.
The company had previously issued a positive profit alert on July 10, forecasting a net profit attributable to equity holders of approximately HK$1.45 billion to HK$1.55 billion for the first half of 2026, marking a significant turnaround from a loss in the prior year period.
Analysts point to the ongoing production ramp-up at the Bakuta tungsten mine, with output expected to continue increasing. Given that current tungsten prices are substantially higher than the same period last year, there remains an expectation for further production growth from the company's tungsten operations. This positive outlook has led to the stock receiving a new "buy" investment rating.
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