SHANDONG MOLONG

Shandong Molong opened higher and rallied in the morning session, gaining 5.47% in Hong Kong morning trading, driven by the completion of its share placement—the company placed ~25.68 million H-shares at HK$4.84 each, netting approximately HK$115.7 million for debt reduction. Brent crude breaking above USD90/barrel further lifted sentiment for oilfield services stocks. Q1 2026 revenue surged 141.92% YoY to HK$754.97 million, while operating profit turned positive at HK$49.33 million, signaling a sharp operational turnaround. However, the current price of HK$4.82 remains 70.48% below the 52-week high of HK$16.33 and trails both MA20 (HK$5.358) and MA60 (HK$5.607), highlighting persistent technical weakness and the nearly 19% placement discount reflects near-term capital pressure.

Shandong Molong (568.HK) opened higher and retraced during the session, closing at HKD 5.14, up 2.6% from the previous close of HKD 5.01. The stock hit an intraday high of HKD 5.29 before easing to HKD 5.13 in the afternoon, with a range of about 3.5%. The move was driven by the completion of a discounted share placement of 25.68 million shares (approx. 19% discount) raising HKD 115.7 million for debt reduction, which pushed the stock up 5% in early trade. However, lingering oil price volatility and a prior sharp sell-off (down over 13% last week) capped gains. Q1 revenue surged 142% YoY to HKD 755 million, with net profit of HKD 6.33 million turning positive. Yet the stock remains 68.5% below its 52-week high of HKD 16.33, though up 59% YTD, and trades below both the 20-day (HKD 5.33) and 60-day (HKD 5.67) moving averages, while PB stands at a high 7.42x, indicating ongoing valuation pressure.

Shandong Molong opened lower and continued to decline in the morning session, closing at HKD 4.97, down 5.15% from the previous close of 5.24, with an intraday low of 4.97 and a high of only 5.08. The drop was mainly driven by falling international oil prices weighing on the oil services sector, and continued pressure from the company's recent placement of 25.68 million H-shares at a ~16.76% discount, raising net proceeds of over HKD 100 million for debt repayment. Q1 revenue surged 141.92% YoY to HKD 755 million, and operating profit turned positive to HKD 49.3 million, with a net margin of 0.84%. Yet the stock remains below its 20-day MA (5.231) and 60-day MA (5.778), although YTD gains stand at 53.87%, and it is 69.57% below the 52-week high of 16.33. However, the PB remains elevated at 6.95x, and sustainability of earnings improvement is yet to be seen.

Shandong Molong opened flat and traded sideways in the morning, closing at HKD 5.57, down 8.99% from the previous close of HKD 6.12. The drop was primarily driven by the company's announcement on July 20 to place 25.68 million H-shares at a ~16.76% discount, with net proceeds expected to exceed HKD 100 million for debt repayment, raising dilution and funding concerns. Despite touching the intraday high of HKD 5.57, volume was thin at 2.402 million shares. The stock remains 65.89% below its 52-week high of HKD 16.33, though it has gained 72.45% year-to-date and sits below the 60-day MA (HKD 5.844), suggesting technical weakness. However, recent oil price surges above USD 90 per barrel had previously lifted the stock over 15% in a single session, highlighting continued sector sensitivity.

Shandong Molong opened at HKD 6.53, up 4.3% from the previous close of HKD 6.26, with only about 8 million shares traded during the morning session and minimal intraday volatility. The move followed the company's announcement on July 22 of a discounted H-share placement of 25.68 million shares at a 16.76% discount, raising approximately HKD 115.7 million for debt reduction. Q1 2026 revenue surged 141.92% YoY to HKD 755 million, operating profit turned positive to HKD 49.3 million, and EPS turned positive to HKD 0.0079. At HKD 6.53, the stock remains 60% below its 52-week high of HKD 16.33, yet has more than doubled from the year's low of HKD 3.07, with YTD gains of 102% and trading above both its 20-day (HKD 5.15) and 60-day (HKD 5.90) moving averages, while the PE ratio stands at 867.