Goldman Sachs Lifts Target Prices on 7 Chinese Miners After Sector Rally

Goldman Sachs raised its price targets for seven Chinese mining companies on April 2, signaling a broadly positive outlook on the sector after a strong market rally.

The ratings update was part of a broader sector review by the investment bank, which maintained Buy ratings on the majority of the covered miners.

The most significant change was for Aluminum Corporation of China (CHALCO), which was upgraded to Neutral from Sell. Goldman boosted its H-share target price by 39% to HK$12.5 from HK$9 and its A-share target to RMB12.5 from RMB9.1. In contrast, Jiangxi Copper and Zhaojin Mining saw their price targets trimmed despite the firm reiterating its Buy recommendations.

The adjustments follow a period of strong performance for the stocks, with short-selling activity representing a significant portion of trading volume, indicating heightened investor debate around the sector's valuation.

Goldman Sachs made the following adjustments to its ratings and target prices:

Stock	Ticker	Rating	Old Target	New Target
CHALCO	02600.HK	Sell -> Neutral	HK$9.0	HK$12.5
CHINAHONGQIAO	01378.HK	Neutral	HK$28	HK$34
JIANGXI COPPER	00358.HK	Buy	HK$50	HK$45
MMG	01208.HK	Buy	HK$13.5	HK$13.5
CMOC	03993.HK	Buy	HK$27	HK$27
ZIJIN MINING	02899.HK	Buy	HK$52	HK$52
ZHAOJIN MINING	01818.HK	Buy	HK$46	HK$43

The firm also updated targets for the A-shares of CHALCO, Jiangxi Copper, CMOC, and Zijin Mining.

The ratings refresh suggests Goldman sees continued strength in the Chinese materials and mining sector, even after recent share price gains. Investors will be watching to see if the updated price targets draw in new buyers or if the high levels of short interest will temper further upside.

This article is for informational purposes only and does not constitute investment advice.