HK Stock Market Move | The majority of coal stocks are rising, and coal prices are expected to stabilize after a period of decline. The investment value of high dividends and high stock dividends is becoming more prominent.

Coal stocks mostly rose, as of the press time, KINETIC DEV (01277) rose by 13.39% to 1.27 Hong Kong dollars; MONGOLIA ENERGY (00276) rose by 11.32% to 0.59 Hong Kong dollars; SOUTHGOBI (01878) rose by 5.49% to 2.88 Hong Kong dollars; Yankuang Energy Group (01171) rose by 3.68% to 8.46 Hong Kong dollars; China Coal Energy (01898) rose by 3.28% to 8.18 Hong Kong dollars; China Shenhua Energy (01088) rose by 2.79% to 31.3 Hong Kong dollars. On the news front, Guosen Securities research report pointed out that although coal prices are still in the process of accelerating bottoming out last week, it is worth noting that the leading coal companies have stopped falling and rebounded. When prices fall and stock prices rise against the trend, it is often an important signal of bottoming out, which indicates that the market has a full understanding of the decline in coal prices and the bearish sentiment has been neutralized, as the saying goes, "the bearish news is out, and things may turn for the better". The agency previously emphasized two main tasks in the coal market this year: actively reducing inventory; seeking price bottom. Currently, the agency believes that the current round of coal price decline may be near the end, and it is expected that in the second half of next week, the decline in speed will significantly slow down or even stop, emphasizing the opportunity for bottoming out. Opening Securities believes that coal companies with high dividends and multiple dividends have become a trend. Since 2024, many listed coal companies have announced interim dividend schemes (Yankuang Energy Group/Shaanxi Coal Industry/Inner Mongolia Dian Tou Energy Corporation/Jizhong Energy Resources/Shanghai Datun Energy Resources/China Coal Energy/Liaoning Energy Industry), highlighting the promoting role of the market value management reform in 2024 on the dividend policy of central SOEs; as a key area for state-owned assets, the coal sector has actively responded to policy calls, and there is a trend of shifting dividends from central SOEs to local state-owned enterprises. The proportion and frequency of dividends are expected to continue to increase in the future, highlighting the high dividend and high stock dividend investment value of the coal sector.