Movement Alert|Huaneng International Power Falls 3.06% in Regular Trading, Profit-Taking Continues as Rising Coal Prices Squeeze Q2 Thermal Power Earnings Outlook

Market Focus06-26

On June 26, Huaneng International Power (00902.HK) fell 3.06% in regular trading, trading at HKD 5.38 per share, with turnover of HKD 117 million. The stock extended its pullback trajectory following a series of consecutive limit-up sessions on its A-share listing.

The decline reflects sustained profit-taking pressure compounded by deteriorating Q2 earnings expectations for thermal power operators. The company reported Q1 net profit attributable to shareholders down 9.83% year-over-year, primarily due to lower domestic power generation volume and declining average on-grid settlement tariffs. On the cost side, Qinhuangdao thermal coal FOB average price reached RMB 781 per ton in Q2, up 19.5% year-over-year and 9.6% quarter-over-quarter, significantly compressing margins as the summer peak demand season approaches. Multiple major banks maintain bearish ratings on the stock, with Citi reiterating a sell rating and a target price of HKD 4.60.

Within the Independent Power Producers sector, the broader segment declined notably. Among peers, China Resources Power fell 4.89%, China Power fell 2.86%, Datang Power fell 2.76%, CGN Power fell 1.45%, and Huadian Power fell 1.31%.

(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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