Jefferies Raises MINTH Group Target Price to HK$47.7, Citing Robotics and Liquid Cooling Progress

Stock News09:40

Jefferies has lifted its target price for MINTH GROUP (00425) to HK$47.7, following a research report highlighting the company's resilient gross margin in the first half of the year and the steady advancement of its robotics and liquid cooling businesses.

Management has reaffirmed its full-year guidance for double-digit growth. Revenue from emerging businesses reached approximately RMB 100 million in the first half, with robotics and liquid cooling contributing 70% and 30%, respectively. The company maintains its full-year target of RMB 800 million in revenue from these new ventures.

According to Jefferies, MINTH GROUP began delivering robotic components in June and also initiated integrated robotics ODM production during the same month. The brokerage anticipates these efforts will generate around RMB 300 million in revenue in the second half of the year.

Management noted that it recently secured a face shield order from one of the three major robotics clients in the United States, with other structural components currently in the final quotation review phase.

On the liquid cooling front, MINTH GROUP's product portfolio includes cold plates, CDUs, immersion cooling cabinets, manifolds, and BBUs. The manifold has already passed Cooler Master's supplier certification and secured orders, while the CDU has completed customer testing and obtained UL certification. Cold plates, immersion cooling cabinets, and BBUs are currently undergoing customer testing or third-party certification.

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