Zhipu placement completed, JPMorgan Chase once again raises Zhipu target price

Odaily reported that JPMorgan Chase raised the target price for Zhipu (02513.HK) by 20%, marking the second time in a week that the bank has raised the target price for this Chinese big model company, following an increase last Tuesday. The bank stated that the company's latest fundraising plan will drive revenue growth. Analysts, including Olivia Xu, wrote in a research report that the new funds raised from this $4 billion stock placement could alleviate bottlenecks in computing power supply services while supporting subsequent model training investments.

JPMorgan Chase stated that the newly added inference computing power resources are expected to be converted into Annual Recurring Revenue (ARR) within 12 months. The bank raised its target price for Zhipu from HK$2,000 to HK$2,400; just last Tuesday, it had raised the target price from HK$1,800 to HK$2,000. Additionally, JPMorgan Chase simultaneously lowered its target price for MiniMax (00100.HK). Last week, the company's share lock-up period expired, and it launched a fundraising plan. The placement caused equity dilution, leading to lowered expectations. Following a prior target price cut last week, this round cuts the target price further from HK$300 to HK$240. (Jin Shi)