Core Viewpoint - CICC initiates coverage on Jaxin International Resources (03858) with an "outperform industry" rating and a target price of HKD 95, based on a price-to-earnings valuation method, corresponding to 22.6 times and 14.8 times earnings for the current and next year respectively [1] Group 1: Company Overview - The company focuses on the operation of the Bakuta tungsten mine in Kazakhstan and is viewed positively by CICC [1] - CICC forecasts the company's earnings per share for 2025, 2026, and 2027 to be HKD 0.63, HKD 4.18, and HKD 6.56 respectively, with a compound annual growth rate (CAGR) of 221.6% [1] - The expected net profit attributable to the parent company for the same years is projected to be RMB 260 million, RMB 1.72 billion, and RMB 2.63 billion [1] Group 2: Industry Analysis - The global tungsten supply-demand landscape is expected to remain tight, with tungsten prices likely to gradually increase [1] - CICC estimates that the global raw tungsten supply will grow at a CAGR of only 2.4% from 2023 to 2028, while global raw tungsten consumption is expected to grow at a CAGR of 2.7% during the same period [1] - The global tungsten inventory has been reduced to low levels, indicating a long-term tight supply-demand relationship for tungsten [1]
中金：首次覆盖佳鑫国际资源 予“跑赢行业”评级 目标价95港元