ASMPT (00522.HK) opened flat today and once hit an intraday high of HKD182.4. It last traded at HKD179.2, up 4.19%, with 2.2899 million shares traded, involving HKD406 million.
The US reportedly approved the export of Nvidia (NVDA.US) H200 chips to 10 Chinese companies, with a cap of 75,000 units per company, Citi said in its report. The total import volume of 750,000 units is in line with industry expectations.
Although the approval of H200 may have a short-term negative impact on domestic AI accelerator vendors, foundries and wafer fabrication equipment suppliers, the 750,000 units are way less than China's AI chip demand, the broker said. China is still expected to meet demand through domestic accelerators, and the localization process of AI will not be hampered.
Citi added that the H200 approval is slightly positive for server suppliers and MONTAGE TECH (06809.HK), as it is expected to drive demand for memory interfaces and PCIe Retimers. The broker also noted that capex by Chinese cloud service providers (CSPs) remains strong. BABA-W (09988.HK), TENCENT (00700.HK) and ByteDance raised their capex, which is expected to further boost demand across the domestic supply chain.
Citi's top picks are ASMPT (00522.HK) (TP raised to HKD180) and SG (300661.SZ), citing improving industry prospects and better risk/ reward.
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AASTOCKS Financial News
Website: www.aastocks.com
| SG Top Picks |
| Stock & Type |
Code |
Strike(Call Level) |
Last |
Effective Gearing |
| TENCT (C) |
27966 |
600.4 (-) |
0.051 |
10.5 X |
| TENCT (C) |
28957 |
590 (-) |
0.090 |
8.8 X |
| TENCT (C) |
27831 |
580.5 (-) |
0.066 |
4.8 X |
| TENCT (C) |
28821 |
560 (-) |
0.120 |
8.5 X |
| TENCT (P) |
27058 |
449.8 (-) |
0.290 |
6.6 X |
| TENCT (P) |
28953 |
390 (-) |
0.124 |
7.2 X |
| TENCT (Bull) |
58179 |
435 (438) |
0.047 |
19.3 X |
| TENCT (Bull) |
58187 |
419 (422) |
0.083 |
10.9 X |
| TENCT (Bear) |
66477 |
488 (485) |
0.056 |
16.2 X |
| TENCT (Bear) |
57886 |
471 (468) |
0.031 |
29.3 X |
| ALIBA (C) |
26236 |
168.98 (-) |
0.021 |
10.2 X |
| ALIBA (C) |
28472 |
166.98 (-) |
0.102 |
7.0 X |
| ALIBA (C) |
26498 |
150.09 (-) |
0.064 |
7.6 X |
| ALIBA (C) |
26762 |
145.98 (-) |
0.095 |
6.2 X |
| ALIBA (P) |
28764 |
115.5 (-) |
0.073 |
4.5 X |
| ALIBA (Bull) |
55496 |
126.5 (128) |
0.086 |
15.7 X |
| ALIBA (Bull) |
58914 |
123.5 (125) |
0.117 |
11.5 X |
| ALIBA (Bear) |
67267 |
151.5 (150) |
0.153 |
8.8 X |
| ALIBA (Bear) |
68566 |
146.5 (145) |
0.108 |
12.5 X |
| Nvidia (C) |
11007 |
205 (-) |
0.400 |
6.2 X |
| Nvidia (P) |
11090 |
168 (-) |
0.174 |
3.5 X |
