Citigroup: CIMC Enric's (03899) commercial aviation business is developing rapidly and the target price is HK$9.5 for a “buy” rating

The Zhitong Finance App learned that Citibank released a research report saying that CIMC Enric (03899)'s stock price increase in the past month has outperformed the Hang Seng Index, which is believed to be mainly due to the rapid development of its commercial aviation business. The bank expects CIMC Enric's clean energy business and chemical business to recover in a low interest rate environment, giving it a “buy” rating, with a target price of HK$9.5.

The bank mentioned that according to CIMC Enric's management, the company's related business revenue this year has exceeded 100 million yuan, 50% of which comes from overseas. The bank believes that although the revenue from this business is limited, since the China National Space Administration issued the “Action Plan to Promote the High-Quality and Safe Development of Commercial Aerospace (2025-2027)” earlier, the business may become a part of CIMC Enrico's rapid growth.