0600 GMT - Cnooc's long-term earnings outlook remains broadly intact despite the current energy shock, says Morningstar's Chokwai Lee in a note. CNOOC's cost control is a key highlight, Lee says, noting that an increase in net production and lower all-in costs, helped Cnooc offset a 13% drop in the average realized oil selling prices in 2025. Cnooc's strong balance sheet and cash flow could support acquisitions, but attractive targets are likely limited at current elevated oil prices, Lee says. Morningstar raises fair value estimates for Cnooc's H shares to HK$29 from HK$25.50 and A shares to CNY25.50 from CNY23.50, on stronger oil prices and lower capital spending. The H shares are fairly valued and supported by around 6% dividend yield, it adds. The H shares are last at HK$28.62. (jason.chau@wsj.com)

(END) Dow Jones Newswires

March 30, 2026 02:00 ET (06:00 GMT)

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