Tai Fook Research keeps Jiangxi Copper at HK$11.25, representing undemanding P/E of 8.5X for FY06, tips counter at buy.

Says output of company's main products: copper cathodes, copper rods expected to rise 7%, 31%, respectively, for 2006; ASP growth for this year pegged at 20% for copper cathodes, 25% for copper rods.

FY06 earnings forecast at CNY4.0 billion (EPS: CNY1.36), +113%.

Notes, China largest refined copper consumer internationally, representing 19% of global usage for 2004; its robust economic outlook likely sustain strong usage of refined copper long term. Stock +2.8% at HK$7.40.