The Zhitong Finance App learned that Bank of America Securities released a research report stating that it reaffirmed the “buy” rating of Zhonglian Heavy Industries (01157) and raised the earnings forecast per share for this year and next two years by 7% and 14%, which is 5% higher than market expectations, and the target price was raised from HK$4.9 to HK$5.8.

According to the report, the company's A shares and H shares have risen by 22% and 18%, respectively, from the beginning of the year, or due to the company's aggressive sales targets this year, with a 50% increase in target revenue and a 100% increase in exports in January this year; the company recorded strong new export orders at the beginning of this year, exceeding 5 billion yuan, compared to 3.3 billion yuan in the first quarter of last year, providing a solid foundation for its revenue in the first half of this year.

The bank believes that the gross profit of Zoomlion Heavy Industries will further improve, mainly due to an increase in the sales share of the high-profit export business, which will lead to a 36% and 22% increase in earnings per share this year and next two years. As for the company's aggressive distribution network expansion, low base effect, promotion of new products and aerial work platforms (AWP), and strong demand in the Middle East, Southeast Asia, America and Africa, it will support it to expand overseas markets.