On May 26, GDS Holdings-SW rose 3.52% at open, trading at HK$34.66/share, with trading volume of HK$4.1453 million. The rebound comes after the stock plunged over 15% in recent sessions due to concerns over massive capital expenditure plans and Q1 profit quality disputes, triggering a technical bounce from oversold levels.
On the news front, Macquarie reiterated its Outperform rating on GDS Holdings, setting an H-share target price of HK$54.6, citing strong order backlogs that enhance revenue visibility for 2027 and beyond. Goldman Sachs also maintained its Buy rating with a 12-month H-share target price of HK$54, expecting the adjusted gross profit margin to remain at 10%–11% as new orders are delivered. The company had reported Q1 net income of RMB 26.52 billion, up 247.1% year-over-year, though the market had focused on the one-off nature of gains from the DayOne stake sale and concerns over the announced RMB 30–50 billion three-year capex plan pressuring future cash flows.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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