JIAXIN INTL RES (03858) shares climbed more than 7% in early trading, reaching HK$62.95 at the time of writing, representing a 7.06% increase with a turnover of HK$58.98 million.
On the corporate front, JIAXIN INTL RES is scheduled to release its interim results for the 2026 fiscal year on August 24. The company previously forecast a net profit attributable to equity holders of approximately HK$1.45 billion to HK$1.55 billion for the first half, marking a significant turnaround from a net loss in the same period last year. This improvement is primarily attributed to two factors: the prior year's period had just commenced commercial production with less than two months of operational history, while the current period benefited from a substantial increase in the average selling price of tungsten concentrate.
According to China Tungsten Online, the tungsten concentrate market remains relatively stable, with holders showing a strong willingness to support prices. This is further bolstered by several disruptive factors, including high temperatures, heavy rainfall in southern regions, and flood and wind prevention controls in some areas. These conditions have kept the release of supply-side resources generally under control, providing a certain level of price support.
Analysts at Guoan Securities International note that JIAXIN INTL RES stands as a pure-play tungsten concentrate stock on the Hong Kong market. The company benefited from the rise in average tungsten concentrate prices and increased production volumes in the first half, leading to a rapid turnaround and growth in net profit attributable to the parent company. Although tungsten concentrate prices experienced a sharp decline after March, they have since stabilized. Looking at the long-term structural landscape, tungsten is expected to fully benefit from expanding demand driven by AI-related PCB micro-drills, rods, and tungsten hexafluoride, potentially widening the global supply-demand gap for tungsten. Furthermore, the company's valuation is not considered high, and the brokerage views it as a quality, high-beta stock, advising investors to monitor its progress.