CHUANGXIN IND (02788) Rises Nearly 4% Intraday, Potential Inclusion in Stock Connect Program

Stock News
02/24

CHUANGXIN IND (02788) saw an intraday increase of nearly 4%. At the time of writing, the stock was up 3.65%, trading at HK$23.88, with a turnover of HK$9.7744 million.

On February 13, Hang Seng Indexes Company announced the results of its quarterly review of the Hang Seng Index Series, with CHUANGXIN IND being added to the Hang Seng Composite Index. The changes will take effect after the market close on Friday, March 6, 2026, and will be implemented starting Monday, March 9, 2026. Following this, the Shanghai and Shenzhen stock exchanges are expected to adjust the list of eligible stocks under the Stock Connect program accordingly.

CMB International noted in a research report that CHUANGXIN IND is likely to be included in the Stock Connect program in March this year, which would further broaden its investor base. The report also highlighted that the company currently benefits from lower electricity costs, and the gradual commissioning of its self-built wind and solar power facilities between 2026 and 2027 is expected to further reduce production costs.

In terms of growth, CHUANGXIN IND is currently establishing new electrolytic aluminum production capacity in Saudi Arabia through a joint venture. Following a new round of investment from Saudi Arabia's Public Investment Fund, the project's execution progress is expected to be secured. CMB International believes that tight supply in the electrolytic aluminum market will provide strong support for aluminum prices. According to their estimates, every 1% increase in electrolytic aluminum prices would lead to a 2.5% rise in CHUANGXIN IND's 2026 earnings.

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