After opening 20% higher, CNOOC shares immediately shot up 44% on the Shanghai Stock Exchange, hitting a price ceiling for the day and triggering a 30-minute trading halt. The stock ended the session up 27.7%.that slumped more than 2% amid COVID-19 lockdowns and geopolitical tensions."CNOOC is being chased by investors who are seeking shelter in big caps with relatively low valuation and high dividends," said Linus Yip, chief strategist at First Shanghai Group.
The Shanghai listing "is a key milestone in the company's history," CNOOC Chairman Wang Dongjin said in a statement. Chen Shuxian, an analyst at Cinda Securities, said in a note on Thursday that "CNOOC represents historic investment opportunities, thanks to high oil prices, low valuation, and consistently high dividend yields," adding the company's market cap has potential to double over the next few years.