CM International: Yancoal Australia (03668.HK) second quarter sales strong, target price raised to HK$39.

According to the Wise Financial APP, CICC International released a research report stating that Yanzhou Coal Australia (03668.HK) expects a 15% year-on-year increase in production in the second quarter of this year, and a significant 43% increase in sales volume. This is mainly due to the low base effect caused by the delayed shipments in the same period last year. The research report maintains a "buy" rating, with the target price raised slightly from HK$38 to HK$39. The long-term coal price forecast remains unchanged, with expectations that the hot summer in the Northern Hemisphere affected by the El Nino phenomenon can support thermal coal prices, while ongoing conflicts in the Middle East can also provide support for energy prices.