Damo: Maintaining the target price of HK$1,385 for the “Accumulation” rating of Zhongji (03308)

The Zhitong Finance App learned that Morgan Stanley released a research report saying that at the 2026 OCP Global Summit, Zhongji Xuchuang (03308, 300308.SZ) presented the vision and roadmap for open optical interconnection solutions, focusing on the launch of the following three core products. The bank maintains Zhongji Xuchuang's “overweight” rating, and the target price for H shares is HK$1,385.

1) Open CPX MSA (Pluggable CPO/NPO Light Engine) defines a standardized, pluggable co-package and near-package optical engine module with connectors. Each slot can provide a maximum bandwidth of 6.4-7.2T to meet AI scale-up requirements for density, heat dissipation, and maintainability while reducing power consumption.

2) XPO MSA (12.8T ultra-high density pluggable optical module) uses an integrated liquid cooling design. A single module can support up to 400W of power consumption. The module scheme covers full retiming, half heavy timing (RTLR) and LPO.

3) On the SDM4 multi-core fiber (MCF) MSA side, Zhongji Xuchuang collaborated with Corning, Sumitomo and AFL to lead the formulation of the SDM4 standard to solve the problems of fiber route congestion and excessive number of cables in AI scale-up (scale-up) and scale-out (scale-out) network architectures.

Regarding the industry's first USFP (ultra-compact and pluggable) 400G/ channel optical transceiver module released at the summit, the bank believes that Zhongji Xuchuang is in an advantageous position and is expected to become a key partner and gain considerable market share; the bank expects commercial production to begin in 2028.