JP Morgan: Maintains "overweight" rating on Petrochina Chemical (00386) with a target price reduced to HK$4.8.

JPMorgan released a research report stating that investors have been concerned about PetroChina Chemical (00386) weak performance in the fourth quarter of last year, as well as the slight increase in official crude oil prices and rising logistics costs in Arab countries. This may put pressure on profit margins in the first half of this year, and is expected to drag down stock performance in the short term. JPMorgan maintains a "overweight" rating on Sinopec, with a target price lowered from 5 Hong Kong dollars to 4.8 Hong Kong dollars. The report also states that, according to media reports, Sinopec is considering investing 3.7 billion US dollars to build a refinery in Sri Lanka, but this information has not been confirmed. JPMorgan points out that if the project is implemented, it may be carried out at the level of listed companies. JPMorgan also expressed optimism about the structural improvement in PETROCHINA's natural gas profitability, potential benefits from the decline in Russian energy import costs, and the possibility of record high net profits, listing it as the top choice in the industry.