The Zhitong Finance App learned that Citi released a research report stating that after maintaining the “buy” rating of CNOOC (00883) and considering its latest production guidelines, it raised its profit forecast for the 2024 and fiscal year 25 by about 5%, and raised the target price from HK$15.8 to HK$23.

According to the report, the company's net profit fell 13% year on year to 124 billion yuan last year, in line with expectations. Core profit fell 5.6% year over year to RMB 134 billion. A final dividend of HK$0.66, with a cumulative dividend of HK$1.25 for the whole year, meant that the dividend ratio was 44% higher than expected, and the dividend rate reached 7%.

The bank mentioned that although CNOOC's commitment to a three-year dividend payment of not less than 0.7 yuan or a dividend rate of 40% will expire this year, it is believed that the Group will continue its dividend policy of no less than 40% next year or later, and there is potential room for improvement under the market value management requirements of the State Assets Administration Commission.