According to a research report published by J.P. Morgan Chase, the price of liquefied natural gas (LNG) in Asia has dropped by more than 80% since the high level in mid-2022. It is believed that the profit margins and sales volume of the gas merchants covered by it have room to increase. Because cheaper spot LNG can be purchased, it is beneficial to increasing demand for industrial gas.

The bank estimates that if the spot price of LNG reaches RMB 2 to 2.5 per cubic centimeter starting next quarter, LNG will be more competitive in price than pipeline gas in some provinces in China. Considering that China Resources Gas is most sensitive to falling LNG prices, it is listed as the industry's first choice and included in the active catalyst watch list. The rating is “increased”. It is expected that Runran's upcoming performance and operating guidelines may exceed market expectations.

Motong is also optimistic about China Gas, Xinao Energy, and Xinao shares. Due to Kunlun Energy's strong stock price performance over the past year, predicting that the potential increase in dividends may have been reflected in stock price performance. Motong advises investors to leave the market with a profit first and downgrade their rating to “neutral.”