Goldman Sachs released a research report saying that maintaining Lanqi Technology's “buy” rating, the 12-month target price for Lanqi A shares is 377 yuan, and the target price for H shares is HK$500. The company announced preliminary results for the third quarter, with revenue of about RMB 2.08 billion, up 46% year on year and 11% quarter on quarter, in line with the forecast, and 1% higher than Bloomberg market expectations. The company expects net profit for the third quarter to be between 1.2 billion yuan to 1.3 billion yuan, up 154% to 175% year on year and 4% to 13% quarter over quarter, meaning the median increase of 9% quarterly, 30% and 47% higher than the bank's and market expectations, respectively. According to the bank, strong growth was driven by the rapid development of AI inference and agent applications, leading to a rise in demand for server CPUs, supporting the demand for memory modules and interconnect chips. Management anticipates a further increase in demand for interconnect chips in the fourth quarter, supported by continued growth in demand for server CPUs and memory, as well as increased contributions from next-generation DDR5 RCD products.

Disclaimer:Webull uses external vendor Google Translation Service for news translations where we endeavour to ensure these are correct, however, we recommend that you please double-check this information accordingly. Webull is not responsible for translation errors or issues.