BOCI Initiates Coverage on Biren Tech with "Buy" Rating and HK$74.43 Target Price

Deep News
05/12

BOCI has initiated coverage on Biren Tech (06082) with a "Buy" rating and a target price of HK$74.43, derived from a 20x multiple on its projected 2027 price-to-sales ratio.

The report highlights that as a leading domestic GPGPU manufacturer, the company is well-positioned to capitalize on the exponential growth in China's AI computing power demand. Beyond its technological leadership spanning from chips to system-level solutions, BOCI believes Biren Tech's deep integration with the domestic supply chain provides a key competitive advantage over its peers.

BOCI forecasts that Biren Tech will achieve a 137% compound annual growth rate in revenue from 2025 to 2028. It is anticipated the company will reach breakeven by 2027, primarily driven by the commercialization of its next-generation products in the second half of 2026.

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