--- title: "Understanding the Market | CHINA LESSO rose over 6%, with a cumulative increase of over 30% in stock price year-to-date. Citigroup pointed out that there are signs of stabilization in its core business in mainland China" type: "News" locale: "zh-CN" url: "https://longbridge.com/zh-CN/news/274769926.md" description: "China Lesso rose over 6%, with its stock price increasing by more than 30% year-to-date. As of the time of writing, it rose 6.15% to HKD 6.21, with a trading volume of HKD 97.1501 million. On the news front, Citigroup's recent research report pointed out that the bank engaged with the company's CFO and Deputy CFO before China Lesso's earnings blackout period. The bank lowered its earnings forecast for China Lesso for 2026 to 2028 by 11% to 18%, reflecting impairment of non-core projects. However, its core business in mainland China shows signs of stabilization, with reduced drag from residential business offset by strong growth in non-residential sectors such as agriculture, industry, healthcare, and municipal services. The bank bases its valuation on a forecasted price-to-earnings ratio of 9 times this year (0.5 standard deviations above the historical average), raising the target price from HKD 6.5 to HKD 7, with a rating of \"Buy.\" Citigroup believes that China Lesso's overseas pipeline business is expected to become a major driver of future growth, with sales growth expected to exceed 50% this year. The bank estimates that China Lesso's core net profit in the second half of last year fell by 10% year-on-year to RMB 938 million, a 13% decline compared to the first half, and expects the net profit margin in the second half to slightly decrease from 8.7% in the first half of last year to 7.4%. The stock has recently risen about 20% amid positive sentiment, and any pullback is seen as a buying opportunity" datetime: "2026-02-04T07:12:04.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/274769926.md) - [en](https://longbridge.com/en/news/274769926.md) - [zh-HK](https://longbridge.com/zh-HK/news/274769926.md) --- > 支持的语言: [English](https://longbridge.com/en/news/274769926.md) | [繁體中文](https://longbridge.com/zh-HK/news/274769926.md) # Understanding the Market | CHINA LESSO rose over 6%, with a cumulative increase of over 30% in stock price year-to-date. Citigroup pointed out that there are signs of stabilization in its core business in mainland China According to Zhitong Finance APP, China Lesso (02128) has risen over 6%, with its stock price increasing by more than 30% year-to-date. As of the time of publication, it is up 6.15%, trading at HKD 6.21, with a transaction volume of HKD 97.1501 million. In terms of news, Citigroup's recent research report pointed out that the bank engaged with the company's CFO and Deputy CFO before the earnings blackout period for China Lesso. The bank lowered its earnings forecast for Lesso from 2026 to 2028 by 11% to 18%, reflecting impairment of non-core projects. However, its core business in mainland China shows signs of stabilization, with reduced drag from residential business offset by strong growth in non-residential sectors such as agriculture, industry, healthcare, and municipal services. The bank bases its valuation on a projected price-to-earnings ratio of 9 times for this year (0.5 standard deviations above the historical average), raising the target price from HKD 6.5 to HKD 7, with a rating of "Buy." Citigroup believes that Lesso's overseas pipeline business is expected to become a major driver of future growth, with sales growth expected to exceed 50% this year. The bank estimates that Lesso's core net profit in the second half of last year fell by 10% year-on-year to RMB 938 million, a 13% decline compared to the first half, and expects the net profit margin in the second half to slightly decrease from 8.7% in the first half of last year to 7.4%. The stock has recently risen about 20% amid positive sentiment, and any pullback is seen as a buying opportunity ### 相关股票 - [CHINA LESSO (02128.HK)](https://longbridge.com/zh-CN/quote/02128.HK.md) ## 相关资讯与研究 - [China Lesso to Overhaul Corporate Charter to Meet New Hong Kong Listing Rules](https://longbridge.com/zh-CN/news/281078717.md) - [Dick’s Sporting Goods Faces Heightened Risk as International Foot Locker Expansion Becomes Key Growth Driver](https://longbridge.com/zh-CN/news/280897971.md) - [Arkade Developers Secures Occupation Certificate for Malad West Housing Project](https://longbridge.com/zh-CN/news/281217956.md) - [Hong Kong Logs Decline in High-End Home Sales Amid Higher Stamp Duty](https://longbridge.com/zh-CN/news/281532062.md) - [12:26 ETOdevo deepens Texas presence as WRMC joins](https://longbridge.com/zh-CN/news/281652151.md)