Changes in Hong Kong stocks | MINIMAX-W (00100) rose nearly 10%, management meeting sent positive signals Goldman Sachs gave target price of HK$860

The Zhitong Finance App learned that MINIMAX-W (00100) rose nearly 10%. As of press release, it had risen 9.8% to HK$215.2, with a turnover of HK$629 million.

According to the news, Goldman Sachs released a research report on MiniMax's CEO conference minutes, reaffirming the MiniMax “buy” rating, with a target price of HK$860. Goldman Sachs said that the MiniMax core strategy model is extremely cost-effective. The M3 model processes trillion tokens per day and the gross margin of the API business is healthy. It is expected that the M3 Pro, which will be launched from September to October, will have significant cost benefits. Goldman Sachs expects MiniMax to be included in the Hong Kong Stock Connect in August this year. Coupled with the current market value being clearly discounted compared to the Chinese video generation model industry, the M3 model competitiveness strategy described by the company and the upcoming H3 multi-modal products are expected to be a positive driving force for annual recurring revenue (ARR) growth, driving significant valuation repair space in the second half of the year.

Citi published a report saying that management gave a positive signal about the industry's prospects and company strategy. MiniMax will focus on the “ultimate intelligence and ultimate cost efficiency” strategy. Management believes that self-built computing infrastructure is an important competitive advantage, and its GPU cluster utilization rate is over 90%, which is higher than the industry average. The company built its own data center last year to lock in lower costs before hardware prices soared recently, forming a structural cost advantage.