Goldman Sachs: Raises gold price forecast for this year and next year. Preferred stocks are Zijin Mining Group (02899) and CMOC Group Limited (03993).

Goldman Sachs released a research report stating that it will raise its gold price forecast for 2026 to 2027 by 10% to 16%, with an average price of $4,978 per ounce in 2026 and $5,585 per ounce in the first half of 2027. The bank also raised its copper price forecast for 2026 by 7% to $12,200 per ton. As a result, it has raised its profit forecasts for Chinese copper and gold mining stocks in 2026 to 2027 by 9% to 33%, with Zijin Mining Group (02899) and CMOC Group Limited (03993) as preferred stocks due to their expected increase in commodity prices and copper and gold production. The bank expects that Zijin Mining Group and CMOC Group Limited's copper production will increase by 9% to 14% in 2026. Based on current project progress, both companies are expected to achieve their production targets by 2028, implying a 40% to 45% increase in production compared to 2025. In an environment of rising gold prices, accelerating the acquisition of gold assets also brings upward profit risks. The bank has raised Zijin Mining Group's recurring profit forecast for 2026 to 2027 by 14% to 18%, with a target price of HK$52 for Zijin Mining Group's H shares, up from HK$39.5, and a target price of RMB 50 for Zijin Mining Group's A shares (601899.SH), up from RMB 38, maintaining a "buy" rating. At the same time, the bank has raised CMOC Group Limited's recurring profit forecast for 2026 to 2027 by 20% to 24%, with a target price of HK$27 for CMOC Group Limited's H shares, up from HK$21.5, and a target price of RMB 28 for CMOC Group Limited's A shares (603993.SH), up from RMB 21.5, also maintaining a "buy" rating.