Morgan Stanley has released a research report indicating that SD GOLD (01787) anticipates its 2025 net profit to be between 4.6 billion and 4.9 billion yuan, representing a year-on-year increase of 56% to 66%, which falls short of the market's forecast of approximately 6 billion yuan. The firm has assigned SD GOLD a target price of HK$45.7 with an "Overweight" rating. Morgan Stanley noted that the forecast implies the company's net profit for the previous quarter was between 644 million and 944 million yuan. Despite the rise in gold prices during the period, the net profit was still lower than the 1.15 billion yuan recorded in the third quarter. The bank suggests that the decline in net profit may be attributed to several factors, including losses from changes in fair value and investment losses from gold futures trading.