Hong Kong Stock Movement | COWELL (01415) Surges Over 7% as J.P. Morgan Forecasts Strong Profit Growth for This Year and Next

Stock News01-13

COWELL (01415) surged more than 7%. As of writing, the stock was up 7.28%, trading at HKD 29.76, with a turnover of HKD 247 million. J.P. Morgan released a research report stating that COWELL's stock underperformed the Hang Seng Index in the fourth quarter of last year, likely due to market concerns that rising memory prices would weaken potential iPhone demand. However, the bank believes the market overreacted, as its research indicates resilient orders this year, with projected first-half electronic manufacturing service shipments increasing 8% year-over-year. Simultaneously, the bank anticipates that the adjusted iPhone product lineup in the second half of the year will benefit COWELL, given its high exposure to Pro and Pro Max models and its continuously expanding market share. The bank also expects the company to gain additional market share in the main rear camera module sector by 2027. J.P. Morgan raised its profit forecasts for 2025 to 2027 by 3% to 9%, projecting profit growth of 23% and 26% year-over-year for 2026 and 2027, respectively, and believes the company's valuation deserves a re-rating, reiterating an "Overweight" rating with a target price of HKD 44.

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment