CMB International raised the target price of Q TECH to 13.39 yuan, with a positive outlook for this year's guidance

Zhao Yin International Research Report indicates that Q TECH (01478.HK) is expected to achieve a year-on-year revenue and net profit growth of 29% and 435% respectively in 2025, in line with previous profit forecasts. This is mainly due to a 171% year-on-year increase in revenue from non-mobile camera modules, a 20% year-on-year rise in the average selling price of mobile camera modules, proceeds from the sale of its Indian business, and operational improvements at New Giant Technology.

Looking ahead to 2026, the firm holds a positive view on management's guidance; it expects mobile camera module sales to grow by 5% year-on-year, benefiting from increased market share overseas, as well as capacity and specification upgrades in India. Additionally, non-mobile camera module sales are expected to grow by 50% year-on-year, driven by the automotive, drone, robotics, and XR sectors.

The firm has raised its revenue forecasts for 2026 and 2027 by 5% and 4% respectively, and net profit forecasts by 2% and 7%; it believes the company's current valuation is attractive, maintaining a "Buy" rating, with the target price raised from HKD 13.18 to HKD 13.39