CICC: Maintains Yankuang Energy Australia (03668.HK) "Outperform" rating and HK$39 target price; rising volumes and prices expected to unleash profit elasticity

Zhitong Finance APP has learned that CICC issued a research report stating that, taking into account the upward revision to coal price assumptions, it has raised Yancoal Australia's (03668.HK) 2026 earnings forecast by 12% to AUD 560 million, while keeping the 2027 earnings forecast basically unchanged. Considering the valuation rollover, the bank maintains its "Outperform" rating and a target price of HKD 39.00, corresponding to 10.5x 2027 forecast P/E, implying 19% upside from the current share price. The bank believes that as production at the Moolarben coal mine gradually recovers, the company's overall production and sales are expected to increase, and coupled with overseas thermal coal prices remaining high, rising volumes and prices are expected to drive the release of the company's earnings elasticity.