HK Stock Market Move | ENN Energy (02688) rose more than 4%. Citigroup said its current price valuation and dividend yield are attractive, reaffirming its "buy" rating.

ENN ENERGY (02688) rose more than 4%, reaching a rise of 4.04% at the time of writing, to 47.65 Hong Kong dollars, with a trading volume of 1.23 billion Hong Kong dollars. On the news front, Citigroup released a research report stating that they have initiated a 30-day observation period for positive catalysts for ENN ENERGY. The report pointed out that unlike peers such as CHINA RES GAS, XINAO has not taken into account the gas sales volume of comprehensive energy projects, which is expected to have a negative impact on its retail gas sales growth. The bank anticipates that the chairman will actively communicate with investors to clarify its business strategy and rebuild investor confidence, deeming the current valuation and dividend yield attractive. They reiterated a "buy" rating, predicting a dividend yield of 5% this year, with a target price of 66 Hong Kong dollars. Morgan Stanley had previously stated that the first-half performance of CHINA GAS HOLD common stock once again affirmed their positive view on the industry, with steady growth in gas volume (up more than 5% year-on-year), improved profit margins, and free cash flow. They believe ENN ENERGY has the greatest upside potential in the next 12 months, and that market concerns about its sales growth and corporate governance are excessive. They set a target price of 65 Hong Kong dollars and rated it as "hold".