Movement Alert|COSCO SHIP ENGY Rises 3.39% in Regular Trading, Rebounding After Two-Day Pullback as VLCC Rates Hold at Extreme Highs

Market Focus09-24

On September 24, COSCO SHIP ENGY rose 3.39% in regular trading, trading at HK$19.51 per share, with turnover of approximately HK$67.94 million. The stock staged a technical rebound after two consecutive sessions of correction totaling over 8%, as profit-taking pressure eased following a surge of more than 80% over the prior two months.

On the news front, VLCC freight rates remain at historically extreme levels, with the TD3C Middle East-to-China route TCE previously breaching the USD 1 million per day mark, underscoring sustained strength in the oil tanker market driven by escalating Middle East geopolitical tensions and disrupted shipping through the Bab el-Mandeb Strait. Morgan Stanley recently reiterated its Overweight rating on the stock with a target price of HK$26, expecting improved third-quarter earnings on higher utilization and freight rates, with management guiding that the sharp September rate spike will be reflected in fourth-quarter results.

The company reported first-half revenue of RMB 15.146 billion, up 30.03% year-over-year, and net profit of RMB 4.545 billion, surging 143.21%, providing robust fundamental support. BlackRock also recently raised its H-share stake to 6.63%, signaling institutional confidence.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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