Goldman Sachs: Wuxi XDC (02268) continues to show strong order momentum with a target price of 63.3 Hong Kong dollars.

Goldman Sachs released a research report stating that WUXI XDC (02268) continues to show strong momentum in orders, with steady customer demand, especially from US customers. Exploration outside the field of ADC (Antibody-Drug Conjugates) remains active, such as AOC (Antibody Oligonucleotide Conjugates) and RDC (Radioisotope Drug Conjugates). The target of a 45% year-on-year revenue growth is on track as expected. In addition, the company is actively negotiating contracts with customers for the Singapore factory area, expecting to sign several contracts by the end of the year. However, due to the time needed for capacity expansion, the revenue contribution from the factory area is expected to be limited until 2027. The rest of the capacity and manpower expansion is also progressing as planned, with recruitment ongoing. The target price is set at HK$63.3 by the bank.