Multiple financial institutions updated their Hong Kong-listed stock ratings on July 14: CICC P&C maintained a “Buy” rating on MINIMAX-W (00100.HK), stating that its scarce AI large-model resources recently completed fundraising; CICC Securities maintained a “Strong Buy” rating on Alibaba-SW (09988.HK), with a target price range of HK$161 to HK$189, highlighting that Alibaba Cloud’s profit margin has risen far more than market expectations.
CICC Maintains MINIMAX Buy Rating, Focuses on AI Large-Model Commercialization
According to CICC’s research report, MINIMAX, as a scarce resource in the AI large-model space, is currently in a high-investment phase, but its revenue has been maintaining rapid growth, and the speed of infrastructure deployment is beyond expectations. MINIMAX recently completed a funding round with net proceeds of about HK$15.96 billion (approximately $2 billion), with the funds mainly used to secure computing power and drive model R&D.
CICC believes the terms of the convertible bonds issued in this round are favorable for the issuer, with a theoretical value higher than the par value and good risk-reward characteristics. CICC’s rating recommendation focuses on the iteration capability of large models and their commercialization progress.
CICC Securities: Alibaba-SW Strong Buy, Target HK$189; Alibaba Cloud Profit Margin Exceeds Expectations
According to CICC Securities’ research report, Alibaba-SW (09988.HK) was maintained at a “Strong Buy” rating, with a target price range of HK$161 to HK$189 (about $20.54 to $24.11); revenue growth at Alibaba Cloud is accelerating, and profit margins have risen significantly beyond market expectations, mainly thanks to rapid growth in MaaS revenue and cost optimization from its self-developed chips.
Although the e-commerce business has seen slower growth due to the macro environment, losses in the instant delivery business have narrowed substantially. CICC Securities is positive on the long-term growth potential of Alibaba Cloud and its AI business and believes the current valuation is quite attractive.
Summary of Major Hong Kong Stock Ratings
Based on research reports from various institutions, the following is the full rundown of the key ratings in this round:
MINIMAX-W (00100.HK): CICC maintains “Buy,” focusing on commercialization after financing
Alibaba-SW (09988.HK): CICC Securities maintains “Strong Buy,” target price HK$161-189
TCL Electronics (01070.HK): CICC Securities maintains “Strong Buy,” expecting that the market share after the merger will surpass Samsung to become No.1 globally
Techtronic Industries (00669.HK): Cathay Hainan Securities’ first time assigning “Outperform the market,” target price HK$152.13
Aanton Gene (06996.HK): Soochow Securities’ first time assigning “Buy,” target price HK$10.6; CLDN18.2 ADC has the best potential among similar products
China Biopharmaceutical (01177.HK): CICC International maintains “Buy,” target price HK$7.7
Jiyee West (01519.HK): Everbright maintains “Buy,” Q2 average daily parcel volume exceeds 100 million shipments
China Resources Land (01109.HK): China Securities maintains “Buy,” target price HK$47.6, completing the issuance of China’s largest equity-based REIT
FAQ
What is CICC Securities’ target price for Alibaba, and what is the rating?
According to CICC Securities’ research report, Alibaba-SW (09988.HK) is maintained at a “Strong Buy” rating, with a target price range of HK$161 to HK$189 (about $20.54 to $24.11); the main reason is that Alibaba Cloud’s profit margin has improved significantly, driven by rapid growth in MaaS revenue and cost optimization from self-developed chips.
What are CICC’s reasons for its rating on MINIMAX?
According to CICC’s research report, MINIMAX is viewed as a scarce resource in the AI large-model field. It recently completed financing with net proceeds of about HK$15.96 billion (approximately $2 billion), with funds mainly used to secure computing power and for model R&D; CICC maintains a “Buy” rating, focusing on the iteration capability of large models and their commercialization progress.
Why was Techtronic Industries given its first rating and the “Outperform the market” rating?
According to Cathay Hainan Securities’ research report, Techtronic Industries (00669.HK) received its first “Outperform the market” rating, with a target price of HK$152.13. Key reasons include continued growth in core brands MILWAUKEE and RYOBI, as well as a notable increase in demand for industrial-grade and professional-grade tools driven by new infrastructure such as the construction of AI data centers in the United States.
