OCBC: significantly raises Ganfeng Lithium Group (01772) target price to 83 Hong Kong dollars, increased profit forecast.

OCBC published a research report stating that it maintains a "buy" rating for Ganfeng Lithium Group (01772), with a forecasted P/E ratio of 40 times and a 20% discount for H shares compared to A shares. The target price for H shares is raised significantly from 39 HKD to 83 HKD, and the target price for A shares of Ganfeng Lithium Group (002460.SZ) is raised from 45 CNY to 92 CNY. Ganfeng Lithium Group is expected to have a net profit of between 1.1 billion to 1.65 billion CNY in 2025. The bank anticipates that lithium prices will remain high until the mining permit for the Jiangxi lithium mine is obtained, and believes that the profitability of the lithium industry will rebound in 2026. The bank has raised its earnings forecast for Ganfeng Lithium Group for this year to 1.85 CNY/2.07 HKD per share, supported by rising lithium product prices and profit margins, expanding contributions from battery and energy storage businesses, and investment income.