Understanding the Market | JIANGXI COPPER rose over 8% in early trading as Citigroup initiated a positive catalyst observation for it, potentially benefiting in the short term from expectations of a U.S. interest rate cut
Jiangxi Copper Company Limited's stock price rose over 8% in the morning session, reaching HKD 25.24, with a trading volume of HKD 315 million. The company announced its mid-term results for 2025, with operating revenue of approximately CNY 256.03 billion, a year-on-year decrease of 4.97%; net profit attributable to shareholders was approximately CNY 4.451 billion, a year-on-year increase of 19.78%. Citigroup raised its target price for H shares to HKD 27.9 and for A shares to CNY 33.8, initiating a 90-day positive catalyst observation, believing that interest rate cut expectations will support market sentiment for copper stocks
According to Zhitong Finance APP, Jiangxi Copper Co., Ltd. (00358) surged over 8% in early trading, with a current increase of 8.14%, priced at HKD 25.24, and a trading volume of HKD 315 million.
On the news front, Jiangxi Copper Co., Ltd. recently announced its mid-term results for 2025. According to International Financial Reporting Standards, the operating revenue was approximately RMB 256.03 billion, a year-on-year decrease of 4.97%; the profit attributable to shareholders of the parent company was approximately RMB 4.451 billion, a year-on-year increase of 19.78%; basic earnings per share were RMB 1.29, with an interim dividend of RMB 0.4 per share. The announcement stated that the revenue decrease was mainly due to a reduction in trade business sales volume.
Citi released a research report stating that after holding a conference call, the bank raised its target price for Jiangxi Copper's H-shares from HKD 19.1 to HKD 27.9, and its target price for A-shares from RMB 25 to RMB 33.8, maintaining a "Buy" rating. The bank also initiated a 90-day positive catalyst observation for Jiangxi Copper, believing that the reduction in China's copper cathode production in September and October, along with expectations of interest rate cuts in the U.S., may support market sentiment for copper-related stocks in the short term.
It is worth mentioning that on August 28, Jiaxin International Resources was officially listed. According to Frost & Sullivan data, as of December 31, 2024, Jiaxin International Resources' Bakuta tungsten mine is also the fourth largest WO₃ mineral resource tungsten mine in the world (including open-pit and underground tungsten mines), possessing the largest designed tungsten production capacity in a single tungsten mine globally. The company holds a 31.24% stake in Jiaxin International Resources, which owns the world's largest open-pit tungsten mine, Bakuta tungsten mine, and has begun to ramp up production
