Guangzhou-Shenzhen Railway Co., Ltd. (00525) surged 11% yesterday and fell more than 7% in early trading today. As of press release, it was down 6.01% to HK$2.19, with a turnover of HK$58,364,400.
The Zhitong Finance App learned that Guangzhou-Shenzhen Railway shares (00525) surged 11% yesterday and fell more than 7% in early trading today. As of press release, it fell 6.01% to HK$2.19, with a turnover of HK$58,364 million.
Changjiang Securities pointed out that in the wave of high-speed rail replacing general railways, the lines and trains of the Guangzhou-Shenzhen Railway have been diverted by high-speed rail, and profitability and scale continue to decline. Along with connecting the main lines to the high-speed rail network, the company launched a cross-Hong Kong high-speed rail train. The path from general rail to high-speed rail has already been paved, but there are two major challenges: the withdrawal of the general railway business requires time and cost; the development of high-speed rail trains requires resource inclination from China Railway Group and Guangzhou Railway Group.
The bank pointed out that with the withdrawal of general railway vehicles on the Guangzhou-Shenzhen Railway and the acceleration of station line resource transformation, we are optimistic about the company's cyclical growth as a high-speed rail operator. Analyzing the structure of vehicle assets and employee age, considering the transformation and upgrading of the company's station resources, we expect the company's business transformation to receive more verification and attention around 2027.