CLSA Initiates Coverage on Delton Technology with Outperform Rating and HK$251.4 Price Target

Deep News07-02 14:10

CLSA has issued a research report initiating coverage on Delton Technology (Guangzhou) Inc. (HKEX: 01989) with an "Outperform" rating and a target price of HK$251.4 for its H-shares.

The report states that Delton is a leading supplier of high-performance server PCBs, possessing long-term cooperative relationships with key clients and strong technical capabilities. From 2022 to 2024, the company's cumulative revenue ranked first among mainland Chinese producers and third globally.

The bank projects that the company's revenue and net profit will achieve a compound annual growth rate of 48% and 60%, respectively, from 2025 to 2028. This growth is expected to be driven by increased shipments of high-layer-count PCBs, product specification upgrades, and a rise in supply value due to gaining greater share from major AI clients.

CLSA forecasts the company's net profit to reach RMB 2.0 billion in 2026, RMB 3.0 billion in 2027, and RMB 4.2 billion in 2028. It anticipates a gradual improvement in the net profit margin to 23.7% by 2028. This improvement is expected to be supported by revenue growth fueled by AI computing power demand for high-layer-count and HDI PCBs, an increasing revenue contribution from high-end AI PCB products, and prudent operational expense management.

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

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/1162568448?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2026-07-02 14:10","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"1162568448","market":"hk","top_or_hot":-1,"title":"CLSA Initiates Coverage on Delton Technology with Outperform Rating and HK$251.4 Price Target","media":"Deep News","content":"<p>CLSA has issued a research report initiating coverage on <b>Delton Technology (Guangzhou) Inc.</b> (<b>HKEX: 01989</b>) with an \"Outperform\" rating and a target price of HK$251.4 for its H-shares.<br><br>The report states that Delton is a leading supplier of high-performance server PCBs, possessing long-term cooperative relationships with key clients and strong technical capabilities. From 2022 to 2024, the company's cumulative revenue ranked first among mainland Chinese producers and third globally.<br><br>The bank projects that the company's revenue and net profit will achieve a compound annual growth rate of 48% and 60%, respectively, from 2025 to 2028. This growth is expected to be driven by increased shipments of high-layer-count PCBs, product specification upgrades, and a rise in supply value due to gaining greater share from major AI clients.<br><br>CLSA forecasts the company's net profit to reach RMB 2.0 billion in 2026, RMB 3.0 billion in 2027, and RMB 4.2 billion in 2028. It anticipates a gradual improvement in the net profit margin to 23.7% by 2028. This improvement is expected to be supported by revenue growth fueled by AI computing power demand for high-layer-count and HDI PCBs, an increasing revenue contribution from high-end AI PCB products, and prudent operational expense management.</p>","source":null,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>CLSA Initiates Coverage on Delton Technology with Outperform Rating and HK$251.4 Price Target</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nCLSA Initiates Coverage on Delton Technology with Outperform Rating and HK$251.4 Price Target\n</h2>\n\n<h4 class=\"meta\">\n\n\n<a class=\"head\" href=\"https://laohu8.com/wemedia/1039043262\">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://community-static.tradeup.com/news/8296859682db4b478146245e72de1922);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Deep News </p>\n<p class=\"h-time\">2026-07-02 14:10</p>\n</div>\n\n</a>\n\n\n</h4>\n\n</header>\n<article>\n<p>CLSA has issued a research report initiating coverage on <b>Delton Technology (Guangzhou) Inc.</b> (<b>HKEX: 01989</b>) with an \"Outperform\" rating and a target price of HK$251.4 for its H-shares.<br><br>The report states that Delton is a leading supplier of high-performance server PCBs, possessing long-term cooperative relationships with key clients and strong technical capabilities. From 2022 to 2024, the company's cumulative revenue ranked first among mainland Chinese producers and third globally.<br><br>The bank projects that the company's revenue and net profit will achieve a compound annual growth rate of 48% and 60%, respectively, from 2025 to 2028. This growth is expected to be driven by increased shipments of high-layer-count PCBs, product specification upgrades, and a rise in supply value due to gaining greater share from major AI clients.<br><br>CLSA forecasts the company's net profit to reach RMB 2.0 billion in 2026, RMB 3.0 billion in 2027, and RMB 4.2 billion in 2028. It anticipates a gradual improvement in the net profit margin to 23.7% by 2028. This improvement is expected to be supported by revenue growth fueled by AI computing power demand for high-layer-count and HDI PCBs, an increasing revenue contribution from high-end AI PCB products, and prudent operational expense management.</p>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"001389","symbol_name":"广合科技","start_time":0,"source_url":"","article_id":"1162568448","we_media_id":"1039043262","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=1162568448","pubTimestamp":1782972652,"columns":[],"sourceInfo":null,"weMediaInfo":{"media_name":"Deep News","introduction":"Global Stock Market Deep Analysis","home_visible":1,"id":"1039043262","head_image":"https://community-static.tradeup.com/news/8296859682db4b478146245e72de1922"},"summary":"CLSA has issued a research report initiating coverage on Delton Technology (Guangzhou) Inc. (HKEX: 01989) with an \"Outperform\" rating and a target price of HK$251.4 for its H-shares.The report states...","collect":0,"end_time":0,"defaultTopTitle":"","property":[],"viewcount":null,"language":"en","relate_stocks":{"001389":"广合科技","BK1209":"保健护理机构","HK0000352382.USD":"VALUE PARTNERS ASIAN INCOME \"A\" (USD) INC","HK0000352291.HKD":"VALUE PARTNERS ASIAN INCOME \"A\" (HKD) INC","EWH":"香港ETF-iShares MSCI","BK0214":"IT设备","01989":"广合科技","BK1170":"电子元件"},"translate_title":"里昂证券首次覆盖德尔顿科技，给予跑赢大盘评级和251.4港元目标价","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"001389":1,"EWH":1,"01989":1},"content_text":"CLSA has issued a research report initiating coverage on Delton Technology (Guangzhou) Inc. (HKEX: 01989) with an \"Outperform\" rating and a target price of HK$251.4 for its H-shares.The report states that Delton is a leading supplier of high-performance server PCBs, possessing long-term cooperative relationships with key clients and strong technical capabilities. From 2022 to 2024, the company's cumulative revenue ranked first among mainland Chinese producers and third globally.The bank projects that the company's revenue and net profit will achieve a compound annual growth rate of 48% and 60%, respectively, from 2025 to 2028. This growth is expected to be driven by increased shipments of high-layer-count PCBs, product specification upgrades, and a rise in supply value due to gaining greater share from major AI clients.CLSA forecasts the company's net profit to reach RMB 2.0 billion in 2026, RMB 3.0 billion in 2027, and RMB 4.2 billion in 2028. It anticipates a gradual improvement in the net profit margin to 23.7% by 2028. This improvement is expected to be supported by revenue growth fueled by AI computing power demand for high-layer-count and HDI PCBs, an increasing revenue contribution from high-end AI PCB products, and prudent operational expense management.","kind":"news","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":true,"editions":null,"column":"","sentiment":"1","news_tag":"","news_rank":0,"isVideo":false,"video":null,"symbols":[],"gpt_button":0,"need_auth":false,"need_login_tip":false,"code":"91000000","status":"200"},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"isLaohu8Offline":false,"tenantId":"TBGLOBAL","deviceId":"web-server-community-laohu8-v3","version":"4.44.1","shortVersion":"4.44.1","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/1162568448","isCrawlerRequest":true}