On July 8th, Guotai Junan's research report pointed out that COSCO SHIPPING Energy (600026.SH) announced a net profit attributable to shareholders of approximately 2.55 billion yuan in the first half of 2024, a year-on-year decrease of 9%, while the non-recurring net profit increased by more than 5% year-on-year. Among them, the estimated net profit attributable to shareholders in 2024Q2 is 1.31 billion yuan, and the performance is in line with our expectations. The year-on-year decrease of 1.54 billion yuan in non-recurring in 23Q2 is due to the high base effect (high shipping prices in 23Q2 caused by the post-epidemic trade rhythm). The steady increase of 1.24 billion yuan in 24Q1 compared to the previous quarter is in line with the shipping price trend. According to the bank's statistics, the average shipping distance of global crude oil continued to increase by 3% in the first half of 2024. Considering the resilience of traditional energy, the weakening of the impact of de-stocking and the low base in the second half of the year, it is expected that the demand for oil transportation will continue to be stable throughout the year. It is suggested that the effective shipping capacity of oil tankers during the peak season in 2024 may be rigidly highlighted, and the peak season performance is expected to be optimistic. The half-year performance forecast meets expectations, and the profit center continues to rise. The Red Sea situation has not changed the super bull market of oil transportation options. Future prosperity will exceed market expectations, with both performance and valuation double space. Maintain a target price of 23.54 yuan and maintain a buy rating.