CMB International Securities: Maintains a "strong buy" rating for Huicong Technology (01729) AI computing power core business is expected to see a surge in volume

According to the Wise Finance APP, CMB Securities released a research report stating that Huiju Technology (01729) is an important component of the Luxshare system, with excellent positioning in the MPO optical communication, AI server, and other industries. It is expected to achieve high-quality growth. The automotive business benefits from the successful acquisition of Leoni's cable business, and is expected to quickly rise to become a leading global automotive cable supplier. The medical equipment business has a long runway for growth and actively lays out in emerging industries. Combined with the Luxshare system, there is potential for synergistic growth in the medium to long term. Considering the strong demand in the data center and server market, and Leoni's profitability surpassing expectations, it is expected that the company's total revenue for 2026/27/28 will be 20.7/27.4/34.1 billion Hong Kong dollars, with net profit of 1.35/2.03/2.49 billion Hong Kong dollars, corresponding to a PE ratio of 27.7/18.5/15.0 times. The "strong buy" rating is maintained.