Morgan Stanley raises China Hongqiao's target price by 34% and states that strong aluminum prices and cost advantages are beneficial for value reassessment.

Morgan Stanley raises the target price for China Hongqiao, citing strong aluminum prices, cost advantages, integrated business chain, and profit contributions from the Guinea iron ore project, which will support the company's revaluation. Analysts Hannah Yang and others stated in the report that with the increase in Chinese demand, the supply-demand balance will shift to shortage, and there will be room for aluminum prices to rise before the end of the year, which will help increase the profit margins of smelters, indicating that Hongqiao is expected to maintain a healthy profit. Morgan Stanley raised the company's target price from HK$18.50 to HK$24.80 and reiterated an overweight rating.