STOCKS | JPMorgan Raises Zhipu Target Price 11% To HK$2,000

JPMorgan raised its target price on Zhipu (02513) by 11% to HK$2,000 from HK$1,800 and kept an Overweight rating, according to ETNet. The bank said Zhipu's first-half revenue came in below market expectations, mainly because local deployment revenue declined, while cloud and API revenue broadly met forecasts and rose to 86.5% of total revenue. JPMorgan also highlighted that Zhipu's annual recurring revenue reached $1.6 billion in August, equivalent to about $133 million in monthly revenue, exceeding the $123 million in total API revenue generated in the first half. Management expects ARR to rise further to $2.4 billion by year-end. JPMorgan said it remains positive on the company in China's model sector and lifted its 2026 and 2027 revenue forecasts by 14% and 18%, respectively.