Bank of America Securities: Raises Oil Price Forecast for the Year, Adjusts oil stock target price.

Bank of America Securities released a research report stating that they have raised their forecast for Brent crude oil prices to $92.5 per barrel this year and expect that if the war continues for more than 2 to 4 weeks or if energy assets are damaged, oil prices may further soar. According to historical data, if daily oil supply losses exceed 10 million barrels persist for 12 months, Brent crude oil prices could increase from $70 per barrel before the US-Iran war to $150 to $200. The bank believes that PetroChina will benefit from the rise in oil and gas prices, raising the company's forecast for after-tax net profit by 23% to 185 billion RMB this year, raising PetroChina's H shares target price from HK$10.5 to HK$12, and raising PetroChina's A shares target price from 12.5 RMB to 14 RMB, maintaining a "buy" rating. In addition, the bank lowered its forecast for after-tax net profit for Sinopec by 12% this year, lowering Sinopec's H shares target price from HK$6 to HK$5, and lowering Sinopec's A shares target price from 7.6 RMB to 6.3 RMB, maintaining a "buy" rating, believing that its downstream business is more neutral and will benefit less from high oil prices.