Citigroup has issued a research report revising its forecasts for ASMPT (HKEX: 00522). The bank has raised its net profit projections for 2026 and 2027 by 3% and 30%, respectively.

Consequently, the firm's price target for the stock has been lifted from HK$180 to HK$250. The report maintains a 'Buy' rating on the shares.

The analysis notes that while the stock may experience short-term volatility following a recent 90% surge, this does not alter the company's positive structural outlook.

ASMPT is positioned as a primary beneficiary of accelerating industry capital expenditure, thanks to its leadership in Thermal Compression Bonding (TCB) and advanced packaging solutions.

The company is also seen to have multiple emerging opportunities across several key areas. These include SoIC composite chips, EMIB-T technology, new HBM clients, photonics/CPO, and hybrid bonding.