BOCOM INTL: AXERA (00600) is given a "buy" rating with a target price of HK$36.

BOCOM INTL released a research report stating that they are initiating coverage on AXERA (00600) for the first time, with a "buy" investment rating and a target price of HK$36. The firm believes that AXERA is a leading player in the artificial intelligence (AI) inference system chip (SoC) industry. The company's AI products for end-to-end and edge applications have wide potential for deployment in scenarios such as visual AI inference and intelligent driving. BOCOM INTL forecasts that AXERA's revenue will grow by 52%/98%/117% in 2026/2027/2028 respectively, and predicts that the overall gross profit margin will increase from 21.6% in 2025 to 34.2%/38.9%/42.7% in 2026/2027/2028. In addition, the company expects AXERA to achieve positive EBITDA in 2027 and positive net profit in 2028.