The Zhitong Finance App learned that Damo released a research report saying that the Red Sea Air blockade delayed the arrival of the downward shipping cycle. Supply-side risks are accumulating, but in the short term, they have been absorbed strongly by shipping diversion and demand.

The bank said it raised the profit forecast for Dongfang Overseas International (00316) by 36% and 32% for this year and next two years, and raised COSCO Marine Control (01919)'s profit forecast by 98% and 61% for the same period. The bank also raised its profit forecast for Haifeng International (01308) by 26% and 5% for this year and next two years, but lowered its 2026 profit forecast by 3%.

The bank sharply raised the target prices for the above three shipping stocks, with an average margin of 72%, reflecting the increase in profit forecasts for this year and the possibility of a relative balance between the bull market and bear market conditions. The bank estimates that for every 5% increase in shipping costs, the profit forecast will increase by 20% to 25%. Among them, COSCO Maritime Control's revenue risk exposure to spot shipping charges is high.