The Zhitong Finance App learned that Morgan Stanley released a research report stating that it maintains the “gain” rating of Lanqi Technology (06809), and the target price is HK$432.

The bank pointed out that with the rapid development of AI inference and AI agentic applications, demand for server CPUs continued to be strong, driving Lanqi Technology's initial performance in the third quarter to beat expectations. The median revenue for the third quarter was RMB 2,079 million, up 11% month-on-month and 46%, higher than the bank's forecast of 5%; the median net profit was 1.25 billion yuan, up 9% month-on-month and 164% year-on-year, up 24% from the bank's forecast.

The median gross margin for interconnect chips in the third quarter was 68.25%, and management expects interconnect demand to further strengthen in the fourth quarter. Morgan Stanley believes that Lanqi Technology is expected to benefit from the expansion of demand for artificial intelligence, and that memory interface chips will benefit from growth in inference and agentic tasks. The bank also sees the company as a unique target benefiting from the Chinese artificial intelligence server market through the PCIe business.

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.