Citi has issued a research report maintaining its target price of HK$305 for MONTAGE TECH (ASX: 06809) and reiterating its 'Buy' rating. The bank views the premium of the H-shares over the company's A-shares, Montage Technology Co.,Ltd. (ASX: 688008), as reflecting international investors' favor for this scarce AI-themed stock.

Following the release of Montage Technology's first-half 2026 results forecast and its share repurchase plan, the bank conducted a follow-up with the company's management. The bank believes that, despite near-term stock price volatility, the company's fundamental business remains robust. Benefiting from an easing in substrate supply constraints, revenue and profit for the second quarter of this year both reached record highs, with contributions from new products (Gen 3/4 RCD, MRCD/MDB, PCIe retimer, CXL) further increasing.

The bank noted that the company's chairman has proposed an A-share repurchase plan of RMB 300 million to RMB 600 million to demonstrate management's confidence in the company.