Movement Alert|CHINAHONGQIAO Rises 3.28% in Regular Trading, Aluminum Sector Strengthens Amid H1 Profit Alert

Market Focus07-23 10:09

On July 23, CHINAHONGQIAO rose 3.28% in regular trading, trading at HK$23.9/share, with turnover of HK$199 million.

The aluminum sector continued to strengthen broadly, with CHALCO up 5.05% and CHUANGXIN IND up 2.91%. On the news front, the company previously issued a positive profit alert, forecasting H1 net profit growth of approximately 39% year-over-year, primarily driven by higher aluminum alloy product sales prices.

Bank of America Securities noted that the implied Q2 attributable net profit grew approximately 20% quarter-over-quarter, indicating accelerating earnings momentum. UBS maintained its Buy rating, projecting an attractive dividend yield of 10.7% to 11.5%. Citi also reiterated its Buy rating with a target price of HK$48. The aluminum sector has been recovering steadily after excessive pessimistic expectations were fully digested, with continued capital inflows supporting the upward trend.

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