Movement Alert|YOFC Rises 4.01% in Regular Trading, Daiwa Buy Rating and BlackRock Stake Increase Continue to Boost Sentiment

Market Focus
08/14

On August 14, YOFC rose 4.01% in regular trading, trading at 134.5 HKD/share, with turnover of 1.129 billion HKD. The stock extended its multi-day rally as institutional endorsements continued to underpin bullish sentiment.

On the news front, Daiwa recently initiated coverage on YOFC with a Buy rating and a target price of 152 HKD, implying a forward P/E of 10x. The brokerage highlighted the company as a key beneficiary of a strong upcycle in the optical fiber industry, projecting a gross profit CAGR of 137% for its optical interconnect business and a net profit CAGR of 135% from 2025 to 2028. Additionally, BlackRock raised its H-share stake to 7.37%, reinforcing clear institutional accumulation signals. On the overseas front, Daiwa forecasts an overseas gross profit CAGR of 109% for 2026-2028, citing the company's global footprint as a key advantage in capturing AI infrastructure demand.

The company previously guided H1 net profit growth of 711% to 914% year-over-year, with strong earnings momentum complementing institutional optimism to sustain upward price pressure.

(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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