HK Stock Market Move | CHINAHONGQIAO (01378) rose nearly 5% as the company achieved a record high in its semi-annual performance, continuing to enhance long-term returns for shareholders.

CHINAHONGQIAO (01378) rose nearly 5%, and as of the time of writing, it is up 4.86%, trading at HKD 23.74, with a transaction volume of HKD 304 million. On the news front, CHINAHONGQIAO recently disclosed its interim results for the year 2026, showing a revenue of RMB 87.506 billion in the first half of the year, an 8% increase year-on-year despite a high base; the net profit attributable to shareholders reached RMB 17.21 billion, up 39.2% year-on-year. The semi-annual performance hit a new high, largely driven by the increase in sales prices of aluminum alloy products, along with a simultaneous rise in both volume and price of aluminum alloy processed products. The company repurchased a total of HKD 5.2 billion worth of shares in the first half and completed the cancellation, enhancing long-term returns for shareholders. It is noteworthy that the recent escalation of conflict between the U.S. and Iran marks the largest firefight since July, and geopolitical risks are expected to provide a premium support for aluminum prices. Jefferies pointed out that the company's performance in the first half of 2026 was solid, with stable costs and a reduction in debt size. The management remains confident in the aluminum market, expecting the aluminum price range for the second half of 2026 to be between RMB 23,600 and 24,300 per ton. The firm believes the company's valuation is attractive and maintains a buy rating. Guotou Securities International also considers the company to be an excellent high-dividend target, achieving decent performance in a complex macro environment, and recommends that investors pay attention.