GO
| HSI1 | 23,393.32 | +98.90 | 204.84B |
| HSCEI1 | 7,906.11 | +43.89 | 74.19B |
| Back Zoom + Zoom - Block Traded | |
|
2026-11-02 13:05:12 Goldman Sachs published a research report stating that despite the impact of raw material shortages and adverse weather conditions such as flooding in Thailand, ZJ INNOLIGHT (03308.HK) still recorded continued QoQ growth in revenue and gross margin in the third quarter, reflecting sustained strong end-market demand. The broker believes ZJ INNOLIGHT has a leading market position, which helps secure raw material supply more effectively, while its business execution capability is also stronger. Adverse weather in Thailand delayed shipments, but the company completed deliveries in October, with the related revenue expected to be reflected in the fourth quarter. The broker maintained a positive view on AI spending growth and expected ZJ INNOLIGHT's fourth-quarter revenue to accelerate further QoQ to a 27% increase, driven by ramp-up of new AI server racks, gradual improvement in raw material supply each quarter, and revenue deferred to the fourth quarter. Goldman Sachs also expected gross margin to continue improving, benefiting from product mix upgrades toward CW laser-based optical modules. Gross margin is forecast to reach 46.7% in 4Q26 and further rise to 50.2% by 2028. The broker lowered its net profit forecasts for 2026 to 2028 by 17%, 6% and 6%, respectively, to reflect tight component supply and lower revenue forecasts caused by the company's expansion into CW laser optical modules. Gross margin forecasts for the next two years were slightly raised. The broker maintained a Buy rating and cut the TP from HKD3,267 to HKD2,829, equivalent to a forecast 2027 P/E ratio of 37.2x. The A-share TP for ZHONGJI INNOLIGHT (300308.SZ) was lowered from RMB2,645 to RMB2,405.(gc/da)~ AASTOCKS Financial News Website: www.aastocks.com This article was automatically translated by AI, the Chinese version should be considered the authoritative version. AASTOCKS.com Limited does not guarantee its accuracy or completeness and accepts no liability for any damages or losses arising from the use of this translation. | |