Is China Tobacco International (HK) Company Limited's (HKG:6055) Recent Stock Performance Tethered To Its Strong Fundamentals?

Simply Wall StJul 15 03:34 ET

HKEx Stocks Alert | China Tobacco Hong Kong (06055) surged by more than 5% in early trading, with an expected increase in net profit of over 30% in the first half of the year. The company will help Great Wall Cigar speed up its expansion overseas.

According to the Zhongtong Finance APP, China Tobacco Hong Kong (06055) rose over 5% in early trading. As of the time of publication, it has risen by 3.65% to HKD 15.34, with a turnover of HKD 25.8777 million. On the news front, China Tobacco Hong Kong previously released a positive profit forecast, expecting a year-on-year increase in attributable profits to shareholders of no less than 30% for the six months ending at the end of June, and revenue growth of no less than 10%. Zhongjin Securities stated that China Tobacco Hong Kong's profit forecast is better than the bank's expectations, mainly due to the rapid growth of its cigarette export business and the sustained growth of its tobacco leaf import business. In addition, China Tobacco Hong Kong has entered into a long-term strategic partnership with Sichuan Tobacco starting from April 2024.

Zhitong FinanceJul 9 22:47 ET

Hong Kong stock concept tracking | From July 1st, the tax-free allowance for mainland China entering Hong Kong and Macau will be increased. Operators of duty-free shops at ports are expected to benefit. (Attached concept stocks)

Starting from July 1st, mainland residents' duty-free limit for entering Hong Kong and Macao has been raised to 12,000 yuan.

Zhitong FinanceJul 2 23:08 ET

HK stocks fluctuate | ctihk (06055) now rises more than 3%. Institutions say tobacco prices are in an upward cycle and cigarette export business is growing rapidly.

Zhī tōng cái jīng APP learned that ctihk (06055) is now up more than 3%, and as of press time, it is up by 2.91% to HKD 16.98, with a turnover of HKD 18.83 million. On the news front, ctihk previously announced a positive profit forecast, expecting a year-on-year increase in attributable profit to shareholders of no less than 30% for the six months ending in June; and revenue growth of no less than 10%. CICC said that ctihk's profit forecast is better than the bank's expectations, mainly due to the rapid growth of its cigarette export business and the continuous growth of tobacco leaf import business. AXIOM issued a research report stating that overall, the franchise rights have brought the company a solid business operation performance.

Zhitong FinanceJun 25 23:01 ET

FDA approves the sale of menthol-flavored electronic cigarettes in the USA, which may boost the performance of leading e-cigarette companies.

On June 6th, the US Food and Drug Administration (FDA) revoked the marketing refusal order for Juul in June 2022 and re-entered the company's application into the scientific review process.

Zhitong FinanceJun 23 21:36 ET

Anxin International: First initiated a "buy" rating for CTIHK (06055) with a target price of HKD 20.2.

Zhitong Finance App learned that AMTD International released a research report stating that for the first time covering ctihk (06055), it was given a "buy" rating with a target price of HKD 20.2. Overall, the bank believes that the franchise rights have brought a stable performance base to the company. The rising cycle of tobacco prices and the recovery growth of cigarette exports have brought growth momentum to the company. The expansion of future new tobacco business and possible mergers and acquisitions will become potential growth engines. Overall, the bank expects the company's revenue to reach HKD 13.1/14.4/15.8 billion and net income to reach 904 million in 2024/2025/2026.

Zhitong FinanceJun 20 22:07 ET