Changes in Hong Kong stocks | Changjiang Infrastructure Group (01038) is now up more than 4%, and steady free cash flow is expected to bring better shareholder returns

The Zhitong Finance App learned that Changjiang Infrastructure Group (01038) is now up more than 4%. As of press release, it has risen 4.17% to HK$55, with a turnover of HK$240 million.

According to a research report published by HSBC, the Hong Kong utility sector has shown strong resistance to market fluctuations. Gai Hao chose Cheung Kong Infrastructure as the first choice in Hong Kong's utilities sector because its steady free cash flow is expected to bring better shareholder returns and is expected to have stronger mergers and acquisitions value-added potential in 2026.

Morningstar said earlier that it raised the fair value of the Yangtze River Infrastructure Group by 3% to HK$65, benefiting from a slight increase in profit expectations. The stock is currently undervalued, predicting a price-earnings ratio of 15 times and a dividend rate of 4.8%, with a solid medium-term outlook. Morningstar said earnings per share will increase 6.3% per year over the next five years because regulated returns will increase to reflect a significant rise in capital costs since the last round of adjustments.