Citi has initiated coverage on Lingyi iTech (01688), issuing a "Buy" rating with a target price of HK$8. The firm characterizes the company as a premier provider of high-precision functional components and manufacturing platform solutions.

Citi's analysis highlights that Lingyi iTech benefits from a comprehensive product portfolio and global ODM services, which effectively serve a broad base of leading international clients. This positioning is expected to capitalize on the growing demand for electronic devices.

For the period from 2025 to 2028, the investment bank projects a compound annual growth rate (CAGR) of 23% for revenue and 33% for net profit. These projections are driven by several factors, including the rising value of iOS products, contributions from its Liminda acquisition, the expansion of its robotics business, and the increasing adoption of edge AI devices.

Key future catalysts identified by Citi include the potential launch of the iPhone 18 foldable device, certification on the Vera Rubin platform, and the possibility of increased orders for its robotics segment.