Ganfeng Lithium Likely to Post Full-Year Profit on Higher Sales — Market Talk

Q3 2025 revenue surged 44% year-over-year to ¥6.25 billion, with net profit up 364% to ¥557 million. Despite lithium price declines and negative cash flow, international project integration and new financing strengthened the balance sheet.

Original document: Ganfeng Lithium Group Co., Ltd. Class A [002460] Interim report — Oct. 28 2025

By Sherry Qin

Mainland Chinese gold mining stocks surged as markets reopened after the Golden Week holiday, catching up with gains in Hong Kong-listed peers after spot gold topped $4,000 a troy ounce amid global political uncertainty.

Zijin Mining Group shares jumped 8.4% by midday Thursday, Shandong Gold Mining gained 10%, the daily limit in Shanghai, and Zhongjin Gold advanced 8.9%.

The rally in gold producers lifted the Shanghai Composite Index 1.2% to 3931.07 by midday, pushing the benchmark above the 3900 level for the first time since August 2015.

China's mainland stock markets had been closed from Oct. 1 to Oct. 8 for the Golden Week holiday.

Spot gold surpassed $4,000 per troy ounce on Wednesday for the first time and last traded at $4,040.46 per troy ounce.

Investors have turned to gold as a safe haven amid an extended U.S. government shutdown that could complicate the Federal Reserve's policy decisions, as well as growing political jitters in France and Japan.

HSBC analysts said that with additional Fed rate cuts expected over the next 12 months, gold prices are likely to be supported in the near term--and Chinese gold miners stand to benefit from the sustained rally.

The recent euphoria around gold has likely also buoyed shares of other metals and mining companies, said Moningstar analyst Kai Wang. Ganfeng Lithium rose 9.1% in Shenzhen, while Jiangxi Copper was up 10% in Shanghai.

"Some investors may be indiscriminately buying hard-metal commodities because of the rise of gold," Wang added.

Write to Sherry Qin at sherry.qin@wsj.com

Chinese shares ended higher on Friday amid positive investor sentiment. The index rebounded after Thursday's selloff following a media report that Chinese regulators were mulling options to cool down the stock market. Solar stocks led the gains with Sungrow Power Supply and EVE Energy up 17% each. CSI Solar gained 13%. Lithium stocks were also higher with Ganfeng Lithium up 10% and Tinaqi Lithium adding 8.7%. Meanwhile, Kunlun Tech led the declines, falling 5.6%. Bank stocks were also lower with Postal Savings Bank of China down 3.0% and China CITIC Bank Corp declining 2.6%. The benchmark Shanghai Composite Index ended 1.2% higher at 3812.51, the Shenzhen Composite Index added 3.2% and the ChiNext Price Index gained 6.6%. (jiahui.huang@wsj.com; @ivy_jiahuihuang)

Ganfeng Lithium should continue to benefit from likely higher lithium prices, Nomura's Ethan Zhang says in a research report. Its stock price has rallied sharply over the past 60 days on a rebound in lithium prices, the analyst notes. The brokerage sees near-term potential upside for lithium prices owing to mining-scope issues for lithium lepidolite projects in China's Jiangxi. Nomura raises the Hong Kong-listed stock's target price to HK$31.00 from HK$23.40 based on estimated 1.3X 2026 book value per share, versus 1.0X previously, with an unchanged neutral rating. It also raises the China-listed stock's target price to CNY41.00 from CNY33.00, with an unchanged neutral rating. The H-shares are 2.9% lower at HK$30.08. (ronnie.harui@wsj.com)