JP Morgan: Johnson Electric Holdings (00179) shows signs of recovery but still slightly below expectations Short-term visibility is limited. Target price is 59 Hong Kong dollars.

JPMorgan Chase released a research report stating that it maintains a "hold" rating on JOHNSON ELEC H (00179) and a target price of HK$59. DCH Holdings recently updated its operating data, showing that although revenue for the first three quarters of last year remained flat compared to the previous year, third quarter revenue increased by 2% to US$893 million, indicating a gradual recovery but slightly below the bank's expectations, mainly due to the slower than expected progress of projects from Chinese automotive companies. Furthermore, the industrial products business continues to outperform due to structural market share growth, but there is limited data disclosure regarding humanoid robots and AI data center cooling business, and uncertainty remains in the pace of recovery in the automotive products business, limiting short-term visibility.