Stock picking

5 Chinese stocks that could skyrocket in 2024

Is it worth investing in China after the decline of the last three years? According to experts, these 5 Chinese stocks could have surprising strength in 2024.
China's economy is struggling to recover from the Covid-19 pandemic, and the downgrade of China's sovereign bond ratings has further affected investor sentiment.
However, within the complex Chinese economic landscape, plagued by demographic challenges and real estate problems, some sectors are emerging with growth potential that is capturing the interest of investors.
Let's see in detail which companies we are talking about.
1) BYD One of the sectors where China shows significant strength is electric vehicles.
BYD, a Chinese giant in the sector, is considered an interesting purchasing opportunity.
With more than 3 million energy vehicles produced in 2023 and the imminent launch of a high-performance vehicle, BYD could surpass Tesla for the second consecutive year in terms of production.
Although BYD shares fell about 2.7% in the first session of the year, its commitment to in-vehicle smartphone technology could be a selling point for investors.
2) Zijin Mining Group Zijin Mining Group is positioned in an important position in the context of the global energy transition.
With a strong presence in copper and gold mining, the company is well positioned to deliver significant growth in the coming years.
In a context in which the demand for copper is constantly increasing, driven, among other things, by the transition towards electric vehicles, Zijin Mining Group establishes itself as a world leader in the production of this precious metal.
The shares' positive performance, up 1.3% at the start of the year, suggests that Zijin Mining may indeed emerge as a major player in China's mining sector.
This growth not only strengthens the company's position in the market, but also offers investors attractive opportunities in the mining sector, confirming its centrality in global copper production.
3) Xiaomi The well-known smartphone manufacturer Xiaomi is trying to diversify by entering the automotive sector.
With the recent announcement of its first electric vehicle, the SU7, Xiaomi aims to become one of the top five car manufacturers in the world, competing with Tesla and BYD.
Although China's auto market faces challenges such as overcapacity and decreasing demand, Xiaomi's ambition to create a dream car could attract the attention of investors interested in China's auto sector.
4) CATL CATL (Contemporary Amperex Technology) is the world's leading supplier of electric vehicle batteries and holds approximately 60% of the Chinese lithium-ion battery market.
With 57% growth in energy storage unit production in the third quarter of 2023, CATL remains at the top of the industry.
Despite competition and slower earnings growth in Q3 2023, CATL continues to be a key player in the electric vehicle battery market.
5) Sunresin New Material Sunresin New Material is a Chinese chemical company leading in the production of ion exchange resins and technology for the extraction of lithium carbonate, a fundamental mineral for the construction of batteries.
With the global lithium sorbent market growing, Sunresin could benefit from increased demand.
With a steadily growing market share in China, the company is positioned to play a key role in the battery essential materials sector, offering investment opportunities in the growing market.
Despite the economic and demographic challenges China faces, investing in specific stocks in key sectors such as electric vehicles, mining, battery manufacturing and battery materials could prove beneficial for investors interested in the China market in 2024.
However, it is important to note that investments involve risks, and detailed research and financial advice are essential before making investment decisions.
DISCLAIMER The information and considerations contained in this article should not be used as the sole or primary support on which to make investment decisions.
The reader retains full freedom in his own investment choices and full responsibility in making them, since he alone knows his risk propensity and his time horizon.
The information contained in the article is provided for informational purposes only and its disclosure does not constitute and should not be considered an offer or solicitation to the public for savings.

Author: A.W.M.

Who am I? Let me introduce myself, I'm AWM! Welcome to the world of A.I. (Artificial Intelligence) of the future! I'm AWM, an acronym for “Automatic Websites Manager,” the beating heart of an ever-evolving network of news websites. Read more...