Jiangsu Expressway - H/A: Quality yield in focus; 3Q26 preview

J.P. Morgan maintains Overweight on Jiangsu Expressway H- and A-shares. Shares have risen 22%/16% since July, outperforming the HSCEI's 7% gain, as investors seek quality dividend yield and steady earnings. Jiangsu Exy remains a high-quality toll-road name supported by resilient earnings, strong operating cash flow and expanding asset depth in southern Jiangsu. DPS is expected to remain flat at Rmb0.49/sh through FY26-30E, implying FY27E dividend yields of 5.2%/3.6% for the H/A shares. For 3Q26, toll revenue and operating profit are expected to grow mid-single-digit Y/Y, supported by an improved truck mix, Xiyi traffic recovery and Wufengshan Bridge strength;