The Zhitong Finance App learned that Goldman Sachs released a research report stating that it maintained the “buy” rating of Lanqi Technology (06809, 688008.SH) and lowered the 12-month target prices for A shares and H shares to 377 yuan and HK$500. The target price for A shares is based on 48.7 times the 2030 discounted price-earnings ratio, and the target price for H shares is based on 59.3 times the 2030 price-earnings ratio.
According to the bank, the company continues to benefit from the increase in demand for server memory capacity and interface chips driven by artificial intelligence, the continuous migration of DDR5 sub-generations to support product portfolio upgrades, and new interconnect products to expand the value content of its server platforms. The company announced in September that RCD05 for server applications and CK01P for client applications have entered mass production, extending coverage of higher speed DDR5 memory modules. The bank anticipates that higher-generation DDR5 interface chips, as well as the release of MRCD/MDB and PCIe Retimer products, will support future growth.
The bank lowered Lanqi Technology's 2026-2028 net profit forecast by 6%, 11%, and 14%, respectively, mainly reflecting the recent gradual release of new interconnect products. Since then, the contribution of higher-generation DDR5 interface chips and new interconnect products has increased since 2027; revenue forecasts for the same period were reduced by 6%, 5%, and 4%, respectively. The gross margin forecast was lowered by 1.5 percentage points, increased 0.8 percentage points, and increased 1.7 percentage points, respectively.