HK Stock Market Move | Zhejiang Sanhua Intelligent Controls (02050) rose more than 3% against the market trend. JP Morgan raised the company's financial forecasts for 2025 to 2027.

Zhejiang Sanhua Intelligent Controls (02050) rose more than 3% against the market, rising 3.02% to HKD 32.74 as of the time of publication, with a turnover of HKD 660 million. On the news front, J.P. Morgan has raised its financial forecasts for Zhejiang Sanhua Intelligent Controls for the years 2025 to 2027 by an average of 20% to reflect better-than-expected third quarter performance and management's upward guidance. Information obtained from industry conferences further strengthens the bank's confidence in Zhejiang Sanhua Intelligent Controls' long-term growth, with key trends including strong momentum in emerging areas such as humanoid Siasun Robot & Automation and AIDC liquid cooling, resilient automotive parts business, and an intact global supply chain system. The performance outlook for the fourth quarter of this year and next year indicates that the company's profit growth and profit margin expansion will continue even in the face of a high base. Although the company's H and A shares have retreated since October, primarily due to profit-taking by investors, considering the company's solid fundamentals in key areas and strategic positioning, the bank believes that now is a good opportunity to buy on the dip; it has raised the target price for Zhejiang Sanhua Intelligent Controls' H shares from HKD 41 to HKD 42, maintaining a "hold" rating.