HK Stock Market Move | CHINAHONGQIAO (01378) rises by more than 5%, with aluminum prices stabilizing and rebounding recently. Several aluminum companies are expected to have good performance in the first half of the year.

CHINAHONGQIAO (01378) surged more than 5%, up 5.17% at the time of writing to 21.16 Hong Kong dollars, with a turnover of 447 million Hong Kong dollars. On the news front, the recent tensions between the US and Iran have escalated again, with Trump stating that there may be a reimposition of a naval blockade on Iran, and the issue of passage through the strait continues to be a focus. The price of aluminum has found support and stabilized with a rebound. In addition, several aluminum companies have recently announced positive profit forecasts for the first half of the year. Among them, Tianshan Aluminum Group is expected to achieve a net profit attributable to shareholders of 4.2 billion yuan in the first half of the year, an increase of 101.52% year-on-year. UBS has recently maintained a "buy" rating on CHINAHONGQIAO, citing the attractive forecasted dividend yield as a core reason. According to UBS forecasts, the forecasted dividend yields for CHINAHONGQIAO in 2026 and 2027 are as high as 10.7% and 11.5% respectively. CITIC SEC believes that aluminum prices can still be expected in 2026 and the first half of 2027, and that aluminum prices will still have a cost curve of $3000/ton and incentive price support in the second half of 2027.