Changes in Hong Kong stocks | China Hongqiao (01378) rose more than 4%, and net profit for the first half of the year increased by nearly 40% year-on-year. Institutions believe that the company's high dividend attributes are clearly underestimated

The Zhitong Finance App learned that China's Hongqiao (01378) rose by more than 4%. As of press release, it had risen 4.11% to HK$23.32, with a turnover of HK$227 million.

According to the news, China Hongqiao will hold a board meeting today to consider and approve the publication of the 2026 interim results. The company previously anticipated a year-on-year increase of about 39% in net profit for the first half of this year, mainly due to the increase in sales prices of aluminum alloy products compared to the same period in 2025. Deutsche Bank's recent research report indicates that after 20 years of rapid expansion, China's Hongqiao has now entered a mature stage of operation. Over the next five years, the company is expected to return cash equivalent to more than 60% of the current market value through dividends and share repurchases.

Huatai Securities said that in the current climate of relatively pessimistic market sentiment, it still maintains the previous view that the company was clearly undervalued by the market under its high dividend attributes. At the same time, domestic electrolytic aluminum production capacity is still limited. Combined with high-cost overseas production capacity, aluminum prices will remain high in the future, or will continue to support the company's performance and dividends.