SINOFERT (00297) experienced a strong morning rally, with shares climbing 4.90% to HK$1.50, accompanied by robust trading volume of HK$58.88 million.
Market analysts from CICC highlighted that potash fertilizer market conditions have maintained an upward trajectory since the beginning of 2025. The firm noted that limited new capacity additions expected in 2025-26, combined with low domestic inventory levels, suggest this cycle of strong potash fertilizer market performance may have extended sustainability. The company has previously announced its first-half 2025 financial results.
In a recent research note, CISI FIN expressed confidence that SINOFERT (00297) will continue its stable operational performance while optimizing its product portfolio through its "Bio+" strategic initiative to enhance profitability. The brokerage projects the company's revenue to reach RMB 23.063 billion and RMB 24.691 billion for 2025 and 2026 respectively, with net profit attributable to shareholders expected at RMB 1.391 billion and RMB 1.548 billion, representing year-over-year growth of 31.0% and 11.3% respectively. Based on a 50% dividend payout ratio assumption, the current stock price implies dividend yields of 7.5% and 8.3% for 2025 and 2026 respectively. The firm maintains its "Buy" rating on the stock.