Citigroup: SinoMab BioScience Limited (00425) target price raised to 56 Hong Kong dollars, maintains buy rating, benefiting from European new energy vehicle sales and the national standard for electric vehicle batteries.

Citigroup released a research report stating that due to the steady progress made by Minth Group (00425) in Siasun Robot & Automation, artificial intelligence liquid cooling, and overseas electric vehicle parts, the bank has slightly raised its forecasted revenue and net profit for 2026 and 2027 by 1% to 2%. To take into account the opportunities in Siasun Robot & Automation and artificial intelligence liquid cooling, the bank has raised its target price from HK$46 to HK$56, maintaining a "buy" rating on Minth, stating that it is trading at a forecasted P/E ratio of 13 times for this year, lower than Zhejiang Sanhua Intelligent Controls (02050) H shares at around 30 times, and maintaining a 90-day upward catalyst observation on Minth (deadline April 22). The bank pointed out that the strong sales of new energy vehicles in Europe in January and the update of the electric vehicle battery national standard effective from June this year will benefit high-quality manufacturer Minth Group, both of which have increased Citigroup's confidence in the revenue growth of Minth Group. In terms of profit forecast, Citigroup has slightly raised the forecasted revenue and net profit for 2026 by 1% and for 2027 by 2%, with new net profit forecasts for 2026 and 2027 being RMB 3.331 billion and RMB 3.776 billion respectively.