Morgan Stanley: Raises the target price of CMOC to HKD 13.5, maintains "Overweight" rating
JP Morgan released a research report stating that it has lowered the profit forecast for CMOC (03993) for 2025 by 2% to reflect the impact of the extended export ban in Congo, while raising the profit forecasts for 2026 and 2027 by 5% and 8% respectively. The target price for A-shares has been raised from RMB 10 to RMB 14, and the target price for H-shares has been raised from HKD 8.2 to HKD 13.5, maintaining an "Overweight" rating. The bank noted that CMOC's stock price rose yesterday (25th), mainly driven by solid performance in the first half of the year and increasing expectations of interest rate cuts in the U.S. The bank believes that strong growth in copper and cobalt production is gradually reaching the upper limit of the annual guidance. The export ban in Congo may negatively impact the gross profit of the cobalt business in the third quarter, but investors tend to overlook this factor, as copper prices are the more critical driver of stock prices
According to Zhitong Finance APP, JP Morgan has released a research report stating that it has lowered the profit forecast for CMOC (603993.SH, 03993) for 2025 by 2% to reflect the impact of the extended export ban in Congo, while raising the profit forecasts for 2026 and 2027 by 5% and 8% respectively. The target price for A-shares has been raised from RMB 10 to RMB 14, and the target price for H-shares has been raised from HKD 8.2 to HKD 13.5, maintaining an "overweight" rating.
The bank stated that CMOC's stock price rose yesterday (25th), mainly driven by solid performance in the first half of the year and increasing expectations of interest rate cuts in the United States. The bank believes that strong growth in copper and cobalt production is gradually reaching the upper limit of the annual guidance. The export ban in Congo may negatively impact the gross profit of the cobalt business in the third quarter, but investors tend to overlook this factor, as copper prices are the more critical factor driving stock prices
