Shenzhen-listed ZTE shares jump 10% in trading Thursday
The stock plays catch up to H-shares, which have surged nearly 16% in recent trading
Shares of Chinese phone maker ZTE resumed trading in Shenzhen on Thursday, surging 10% after a nine-day hiatus, reports Reuters. The company’s Hong Kong-listed shares have jumped almost 16% since ZTE announced the settlement of a US sanctions case, for which the firm will pay US$900 million in fines. Shares listed on the mainland were suspended in anticipation of the announcement. As Barron’s reported this week, UBS upgraded the firm’s shares to HK$16.80, with the stock trading 10.2 times UBS’ 2017 earnings estimate. That compares to historic range of 13-23 times for the past ten years.