Ganfeng Lithium (01772.HK) Hot Stock Analysis

As a leading enterprise in the lithium industry, Ganfeng Lithium (01772.HK) has recently become a hot stock in the Hong Kong market due to the expected recovery of the lithium market. Key catalysts include: On December 5, 2025, UBS Group upgraded the rating of US lithium leader Albemarle (ALB) to Buy, pointing out that the lithium market will enter a shortage state in 2026 due to increased energy storage demand and slow capacity expansion in the West [2], driving up the entire lithium sector; HSBC raised Ganfeng Lithium’s target price to HKD 54 and holds a long-term optimistic attitude towards the improvement of the company’s fundamentals [3].

In terms of price, Ganfeng Lithium rose by a maximum of 6.28% intraday to HKD 54.15 [1], then narrowed to 3.53%. Previously, the stock closed at HKD 54.25, up 14.9% [4]. Regarding market sentiment, institutional rating upgrades and target price increases indicate long-term optimism; meanwhile, the stock ranked on the Hong Kong Stock Popularity List of the East Money App, attracting high attention from retail investors.

1. Cyclical Reversal Signal for the Lithium Industry
   : The optimistic expectations from UBS and HSBC reflect institutions’ judgment that the lithium industry will shift from oversupply to undersupply, and Ganfeng Lithium, as an industry leader, will directly benefit from this trend.
2. Short-term Rise Driven by Multiple Factors
   : The recent rise of the stock is not only based on expectations of improved industry fundamentals but also benefited from the catalysis of institutional rating and target price upgrades, as well as the increasing attention from retail investors.
3. Coexistence of Short Pressure and Upward Momentum
   : Although Ganfeng Lithium is among the top ten shorted stocks in Hong Kong [5], its short-term upward momentum is strong, indicating that there are still large differences in market views on the prospects of the lithium industry.

• Opportunities
  : The expected shortage in the lithium market will bring an upward cycle to the industry; as a global lithium leader, Ganfeng Lithium is expected to gain a higher market share and profit level.
• Risks
  : Lithium prices have large fluctuation risks; if the 2026 shortage expectation is not met, the stock price may correct; the current rise is based on future expectations, so there is a risk of unmet expectations; at the same time, the stock faces certain short pressure.
• Time Sensitivity
  : The current rise is mainly driven by short-term catalytic factors; investors need to pay attention to the actual trend of lithium prices and changes in industry supply and demand data.

Ganfeng Lithium (01772.HK) has recently become a hot stock in Hong Kong due to the expected recovery of the lithium industry and upward adjustments of institutional ratings, with a maximum intraday rise of 6.28% to HKD 54.15. Institutions predict that the lithium market will face a shortage in 2026, driving up the entire lithium sector; HSBC raised its target price to HKD 54. However, the stock faces risks such as lithium price fluctuations, unmet expectations and short pressure; investors need to closely monitor industry dynamics and changes in the company’s fundamentals.