CLSA Initiates Coverage on SIGENERGY with Outperform Rating, Sets HK$601 Price Target

Deep News06-26

CLSA has issued a research report initiating coverage on SIGENERGY (06656) with an Outperform rating and a price target of HK$601.

The firm noted that liquidity is the primary concern and is distorting the stock's price performance. However, CLSA views SIGENERGY's fundamental business as remaining robust, with its full-year revenue and profit guidance unchanged at RMB 20 billion and RMB 4.5-5.0 billion, respectively.

The report expressed appreciation for the management team's experience in the energy and artificial intelligence (AI) sectors and conveyed confidence in the company's ability to execute its expansion plans. Consequently, CLSA has raised its profit forecasts for the years 2026 through 2028 by 4%, 15%, and 5%, respectively.

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