Citigroup: Raises Luoyang Molybdenum's target price to HK$28.3, maintains "buy" rating.

Citigroup published a research report, raising the net profit forecasts for Luoyang Molybdenum Industry in 2025, 2026, and 2027 by 3.8%, 34.2%, and 17.5% respectively, to 20.5 billion yuan, 33.9 billion yuan, and 31.8 billion yuan. Based on Citigroup's commodity team's forecast of a gold benchmark price of $4600 per ounce in 2026, the bank expects the newly acquired assets to contribute 7.1 tons of attributable gold production in 2026, bringing a net profit of 2.4 billion yuan to Luoyang Molybdenum Industry, accounting for approximately 7% of the total profit. The report states that Luoyang Molybdenum Industry announced the acquisition of Brazilian gold assets in December 2025 and completed the transaction in January 2026. The bank expects this asset to contribute 7.1 tons of attributable gold production in 2026, contributing approximately 2.4 billion yuan in net profit. Citigroup raised the target price of Luoyang Molybdenum Industry from 20.6 HKD to 28.3 HKD and maintained a "buy" rating.