BOCI Research: Maintain ZTE Corporation (00763) at "Buy" rating, raise target price to HK$29.28.

Bank of China International released a research report stating that it will maintain a "buy" rating on ZTE Corporation (00763) and raise the target price from HK$22.22 to HK$29.28. ZTE Corporation's profit performance in the second half of the year was lower than expected due to the deterioration of its revenue structure, but it is expected that the business of operators will begin to recover this year. The bank expects ZTE Corporation to seize the growing demand for cloud infrastructure brought about by the widespread application of artificial intelligence in various vertical industries. The introduction of artificial intelligence servers equipped with domestic chipsets by the company will be a key driver of its profit growth and will also help boost sales of its operator network equipment as well as government and enterprise products.