HUAQIN (03296) shares climbed more than 5% in the afternoon, reaching a 5.47% gain to 67.5 Hong Kong dollars, with a trading volume of 74.826 million Hong Kong dollars.

The company previously announced that first-half revenue is expected to be between 93 billion and 95 billion yuan, representing a year-on-year increase of 10.8% to 13.2%. Net profit attributable to shareholders is projected at 2.9 billion to 3.05 billion yuan, up 53.5% to 61.5% year-on-year. During the reporting period, the mobile terminal, computing, and data businesses saw steady growth, while the innovation business expanded rapidly, collectively driving sustained operational growth.

JPMorgan released a research note stating that HUAQIN's second-quarter performance forecast exceeded expectations. The bank anticipates that as rack-level AI projects enter mass production, the data center business will become a major performance catalyst starting from the second half of 2026. Against the backdrop of the domestic market's transition to rack-level AI infrastructure, HUAQIN, with its full-stack capabilities in AI/general-purpose servers and high-speed switches, is well-positioned to be a primary beneficiary, potentially driving an upward valuation re-rating.