Yamato: Mizuho Securities raises the target price of Nine Dragons Paper (02689.HK) to 5.7 Hong Kong dollars, maintains a "hold" rating.

According to the Wise Wealth Finance APP, Daiwa released a research report stating that Nine Dragons Paper (02689.HK) has benefited from the cost advantages brought by the rapid growth of internal pulp supply. In the second half of the fiscal year ending in June of this year, the profit per ton of paper improved to 127 yuan (RMB) (same below), a significant increase from 31 yuan in the first half of the fiscal year and 53 yuan in the second half of the fiscal year of 2024. The bank raised the company's earnings forecast for the fiscal years 2026 and 2027 by 22 to 37% per share, raised the target price from 5 Hong Kong dollars to 5.7 Hong Kong dollars, but maintained its "hold" rating due to fair value considerations.