Guotai Junan Securities: Maintains "Buy" rating for KEEP (03650.HK) with a target price of 7.7 Hong Kong dollars.

According to the Zhitong website, Guotai Haitong released a research report stating that it maintains a "buy" rating on KEEP (03650.HK) and has raised the company's adjusted net profit forecast for 2025-2027 to 0.1/0.9/2.01 billion RMB, with growth rates of 102/772/124%. Referring to comparable company valuations, the company is given a 2x PS for 2025 and a target price of 7.7 Hong Kong dollars. The company's H1 revenue was 8.22 billion RMB, down 20.8%, with adjusted net profit of 10.35 million RMB (compared to a loss of 160 million RMB in the same period last year). The company achieved profitability mainly due to its comprehensive focus on AI, strategic transformation, active streamlining of non-core and inefficient businesses, and optimization of product structure to improve profitability.