Ge Long Hui·2026-02-26 06:23Group 1 - The core viewpoint of the report is that JPMorgan maintains a cautious outlook on the Chinese gas utility sector, expecting disappointing full-year performance for the companies involved and limited improvement in the outlook for the year [1] - The firm anticipates that the Chinese gas utility industry will experience low growth this year, driven by weak gas sales growth, a continued decline in new residential connections, and stable gas profit margins [1] - JPMorgan's preferred choice in the industry is Kunlun Energy, which is expected to deliver a shareholder return rate of 6%, factoring in dividends and buybacks, with an opportunity to increase the dividend payout ratio and announce a new dividend plan in March [1] Group 2 - JPMorgan has upgraded the target price for Kunlun Energy from HKD 7.8 to HKD 9 and maintains an "Overweight" rating for the stock [1]