The latest Market Talks covering Technology, Media and Telecom. Published exclusively on Dow Jones Newswires at 4:20 ET, 12:20 ET and 16:50 ET.

0737 GMT - It may take time for AI monetization to translate into higher valuations for Chinese tech companies, Daiwa analysts say in a research note. Chinese foundation models are gaining credibility, but economics remain under assessment. Investors are aware of the competitiveness of Chinese models, but continued evidence on sustainable pricing power and margin improvement will likely be required, they say. "We are likely more positive than the market on the path of AI monetization, particularly through cloud revenue growth, gaming productivity gains and foundation-model adoption," Daiwa says. (tracy.qu@wsj.com)

0342 GMT - Gamuda's diversification across countries and projects may have been underestimated by investors, CGS International analyst Chong Tjen-San says in a note. Its 61.6 billion ringgit order book as of September includes Taiwan, Malaysia, Singapore and Australia. Data centers account for 15%, reducing its reliance on any single market or segment, he says. Earnings visibility should improve as 79% of the order book remains at an early execution stage, while Vietnam property launches are expected to support FY2027 sales, he reckons. Chong raises Gamuda's FY2027-FY2028 EPS forecasts by 2%-6% to factor in higher margins given the strong data center job wins. CGS raises Gamuda's target price to 6.05 ringgit from 5.78 ringgit, while maintaining an add rating on the stock. Shares are 1.5% higher at 4.66 ringgit. (yingxian.wong@wsj.com)

0219 GMT - The Malaysian tech sector could remain supported by a broadening semiconductor upcycle and sustained earnings momentum, Hong Leong IB analysts Toh Woo Kim and Sam Jun Kit say in a note. Managements are becoming more confident on demand and capacity expansion through 2027, while global chipmakers are providing firmer growth guidance, improving earnings visibility. In the near term, Anthropic's pending S-1 filing could provide an early indication of AI monetization. A potential U.S. Fed rate hike may also weigh on sentiment, but is unlikely to prompt significant selling across the sector, with investors likely to prefer companies with stronger earnings visibility, they add. Hong Leong maintains an overweight rating on Malaysian tech sector, pegging Vitrox Corp., UWC, SAM Engineering & Equipment and Itmax System as top picks. (yingxian.wong@wsj.com)

0212 GMT - The expansion of the KLCI to 50 constituents from 30 looks structurally positive, Citi analyst Megat Fais says in a note. The expansion is likely to improve market representation and sector diversification, reducing financials' weight to 36.6% from 42.7% while increasing exposure to the technology, consumer discretionary and industrial sectors, he says. The phased inclusion of the 20 new constituents over December 2026 and June 2027 should limit market disruption and front-running, he reckons. FTSE Russell backtests suggest the 50-stock index could outperform the current framework by 60 basis points annually, albeit with a 10 bp lower dividend yield, he adds. Citi rates potential new constituents including Eco-Shop Marketing, Frontken, Genting Bhd. and Inari Amertron at buy. (yingxian.wong@wsj.com)

0142 GMT - Solar Industries and Astra Microwave are among the top defense companies benefiting from India's higher government spending and a push for private partnerships, Jefferies analysts Lavina Quadros and Shirom Kapur say. With the private-sector share rising in defense, the analysts estimate Solar and Astra's earnings will increase at compound annual growth rates of 31% and 19%, respectively, through FY2026-2030. Jefferies initiates coverage of the two with buy ratings and target prices of 28,160 rupees and 2,055 rupees, respectively. It also starts coverage of state-run Bharat Dynamics with a hold rating and target price of 1,280 rupees. (venkat.pr@wsj.com)

2252 GMT - While currency exchange rates are a potential headwind to Megaport, Citi views the cloud connectivity provider's FY27 guidance as conservative. Megaport has guided to a A$305 million-A$405 million range for FY27 revenue from its Latitude.sh acquisition, Citi says. This wide range has ledinvestors to question whether strategic contracts are delayed. "We see the guidance as conservative especially when considering that closing FY26 annualized recurring revenue included A$14 million from the strategic contracts (which is ahead of schedule)," analyst Siraj Ahmed says. So, the guidance range is likely to be about providing flexibility for potential procurement or deployment delays, Citi says. It forecasts Latitude revenue of A$370 million. Citi retains a buy call on Megaport, and raises its price target by 11% to A$24.60/share. Megaport ended Monday at A$17.13. (david.winning@wsj.com; @dwinningWSJ)

2240 GMT - Forsyth Barr is upbeat about Serko's fledgling Serko.ai product. Serko.ai is a multi-agent AI travel assistant that allows users to plan, book, and manage travel via a natural-language interface. "We exited the demonstration with increased confidence in both the product's delivery timeline and the quality of its user experience," says analyst James Lindsay. Serko did a closed beta launch of the product in the U.S. in May, and a broader U.S. open beta is on track for 3Q27. Serko plans to initially target low-complexity U.S. small-to-medium-sized businesses, Forsyth Barr says. "While the commercial model remains under development, we understand that a percentage-of-booking-value checkout fee is the likely initial approach, with potential for seat-based licensing as the product evolves," says Forsyth Barr, which rates Serko at outperform. (david.winning@wsj.com; @dwinningWSJ)

1026 GMT - Soitec is expected to report year-on-year margin expansion and better cash generation, supported by the French company's pricing power, Berenberg analyst Trion Reid writes. "Demand continues to accelerate, and the group is adjusting capacity accordingly," Reid says. Last week the semiconductor-materials maker lifted its revenue guidance for the current quarter on demand for its products. It is due to report half year earnings on Nov. 18. Berenberg raises its target price on the stock to 135 euros from 129 euros and keeps its hold rating. Shares are up 5.9% at 135.90 euros. (ian.walker@wsj.com)

0834 GMT - China's artificial-intelligence strategy is accelerating investment in infrastructure and broadening AI adoption across related sectors, according to Moody's Ratings in a research note. Infrastructure companies are increasingly participating in China's AI ecosystem as investors, developers and users of AI technologies, it points out. "Applications in power grids, power generation, ports, airports and toll roads are already improving forecasting, dispatch, maintenance and asset utilization, generating measurable operational benefits," it says.