Weichai Power's global market share visibility increases and target price raised to 40 Hong Kong dollars.

Yamato released a research report stating that since the end of 2025, Weichai Power (02338) has been the bank's preferred stock, due to its extensive capabilities to meet the demand for AIDC power. The bank now sees increased visibility for Weichai in capturing market share in the global power generation market, and expects Weichai to have further revaluation potential as a key beneficiary of strong AIDC demand in the coming years. The bank stated that it slightly raised Weichai Power's forecasted revenue for 2026 to 2027 by 1%, and reiterated a "buy" rating, raising the target price from 24 Hong Kong dollars to 40 Hong Kong dollars, based on a higher target enterprise value multiple of 12 times for Weichai's engine business, and a unchanged target price-to-earnings multiple of 9 times for its automotive components and agricultural equipment business.