Inner Mongolia MengDian HuaNeng Thermal Power Corp Ltd

The A-share market, amid volatile adjustments, is seeing a concentrated wave of dividend distributions. On July 28 alone, 20 listed companies carried out ex-rights and dividend payments, distributing a total of approximately 10.7 billion yuan in cash. Among them, China Railway Construction paid out 4.074 billion yuan, Huayu Automotive Systems paid 3.153 billion yuan, and Huaneng Mengdian paid 1.724 billion yuan. Several brokerages, including Guolian Minsheng, Dongxing Securities, and Cinda Securities, also distributed dividends exceeding 100 million yuan each. Meanwhile, within the month, nine companies have disclosed their 2026 interim dividend plans, with total proposed payouts exceeding 25 billion yuan. Zijin Mining leads with a proposed payout of 11.136 billion yuan, while Hikvision and CATL plan to distribute 5.041 billion yuan and 6.493 billion yuan respectively. Most companies reported strong first-half earnings, with some posting significant net profit growth, providing support for the dividends. Additionally, Shanghai Airport's controlling shareholder has proposed raising the interim cash dividend payout ratio to around 55 percent, and Changchuan Technology is expected to carry out its first interim dividend since listing.

Based on the equity registration date, a total of 20 listed companies will implement their dividend plans today. Among them, 11 companies have a cash dividend of 1 yuan or more per 10 shares. Huayu Automotive is the most generous, distributing 10.00 yuan per 10 shares, followed by Youyou Green Energy and China Resources Double-Crane, with cash dividends of 8.00 yuan and 3.79 yuan per 10 shares respectively. In terms of share transfers, Zhixin Precision and Youyou Green Energy both transfer 4.00 shares per 10 shares, the highest transfer ratio. Looking at share price performance over the past five days, Huaneng Mengdian leads with a cumulative gain of 7.02 percent, while Jinhai High-Tech and Huayu Automotive rose 3.88 percent and 2.72 percent respectively.

The A-share power sector triggered a wave of daily limit up moves. On July 20, the power sector rose 4.8 percent overall, with about 17 stocks including Huaneng Mengdian, Huayin Electric Power, Jinkai New Energy, and Jiantou Energy hitting their daily limit up. The rally is linked to surging electricity loads during the summer peak season and an explosion in computing power demand. After the national electricity load reached 1.518 billion kilowatts on July 10, it climbed to 1.551 billion kilowatts on July 14, with 16 provincial-level grids refreshing their peak a cumulative 59 times. In the first half of the year, total electricity consumption reached 5.1 trillion kilowatt-hours, up 5.3 percent year-on-year, with charging and battery swap services surging 56.9 percent and internet data services up 44 percent. The China Electricity Council expects that during the 15th Five-Year Plan period, annual incremental electricity consumption from computing power will exceed 100 billion kilowatt-hours, and by 2030 total computing power electricity consumption could reach 800 billion kilowatt-hours, accounting for about 6 percent of total societal electricity use.

A total of 15 stocks received buy ratings from institutions today, with Hengli Petrochemical drawing the highest attention, logging two buy rating records. Among the six rating records that provided target prices, five stocks have upside potential exceeding 10 percent. Zangge Mining has the highest upside, with Soochow Securities estimating its target price at 128 yuan, representing an 81.41 percent upside from the latest closing price. Hengli Petrochemical and Huaneng Mengdian have upside potentials of 56.25 percent and 33.72 percent, respectively. Huaneng Mengdian and JPT were covered by institutions for the first time. In terms of market performance, the rated stocks fell by an average of 2.15 percent today, with Milkground, Songfa Shares, and Huaneng Mengdian leading the gains. By sector, the basic chemicals industry was the most favored, with four stocks making the list.