UOB Kay Hian released a research report maintaining a "Buy" rating on Ganfeng Lithium (01772) and increasing its H-share target price from HK$78 to HK$90. The target price for Ganfeng Lithium's (002460.SZ) A-shares was also raised from 72 yuan to 80 yuan.
UOB Kay Hian kept its 2025 net profit forecast for Ganfeng Lithium unchanged at 4.07 billion yuan, based on an expectation of lithium salt sales volume of 180,000 tonnes LCE, representing a 39% year-on-year increase. Based on this calculation, the net profit for the fourth quarter of 2025 is projected to be 382 million yuan, while the market consensus expectation is 438 million yuan.
Considering higher sales volumes (230,000/270,000 tonnes LCE for 2026 and 2027, respectively) and higher average lithium salt prices (160,000 yuan and 200,000 yuan per tonne for 2026/2027, respectively), the brokerage has raised its net profit forecasts for Ganfeng Lithium for 2026 and 2027 by 67% and 58%, to 3.21 billion yuan and 5.24 billion yuan, respectively.
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