---
title: "Goldman Sachs reaffirms \"Buy\" rating on GDS and Vnet, raises target price"
description: "Goldman Sachs reiterated its \"Buy\" rating on GDS and Vnet, and raised the target price. The target price for GDS H shares was raised from HKD 39 to HKD 41, and the ADR target price was raised from USD"
type: "news"
locale: "en"
url: "https://longbridge.com/en/news/255410761.md"
published_at: "2025-09-01T06:39:16.000Z"
---

# Goldman Sachs reaffirms "Buy" rating on GDS and Vnet, raises target price

> Goldman Sachs reiterated its "Buy" rating on GDS and Vnet, and raised the target price. The target price for GDS H shares was raised from HKD 39 to HKD 41, and the ADR target price was raised from USD 40 to USD 42; the ADR target price for Vnet was raised from USD 12 to USD 13. Despite the calm demand for AI in China's data centers, both companies still achieved better-than-expected revenue and EBITDA, reflecting their discipline in high-quality orders and new capacity delivery

Goldman Sachs released a report stating that despite expectations of supply bottlenecks in the second quarter of 2025, the demand for AI in Chinese data centers remains relatively calm. GDS-SW (09698.HK) (GDS.US) and Vnet (VNET.US) still achieved better-than-expected revenue and EBITDA, benefiting from a robust pace of customer onboarding and resilient pricing, reflecting their discipline in accepting high-quality orders and delivering new capacity. This contrasts with the quarterly weak performance of Guanghuan Xinwang (300383.SZ), reflecting a continued differentiation between data center operators that can capture the growth in AI/cloud demand and those more exposed to traditional retail demand, which remains moderate.

Goldman Sachs reiterated its "Buy" rating on GDS and Vnet, raising the target price for GDS H shares from HKD 39 to HKD 41, and the target price for GDS ADR from USD 40 to USD 42; the target price for Vnet ADR was raised from USD 12 to USD 13. The firm maintained a "Sell" rating on Guanghuan Xinwang, raising the target price for A shares from RMB 10.5 to RMB 11.4

### Related Stocks

- [VNET.US - Vnet](https://longbridge.com/en/quote/VNET.US.md)
- [GDS.US - GDS](https://longbridge.com/en/quote/GDS.US.md)
- [09698.HK - GDS-SW](https://longbridge.com/en/quote/09698.HK.md)

## Related News & Research

| Title | Description | URL |
|-------|-------------|-----|
| 3 no-brainer AI stocks to buy right now | These artificial intelligence (AI) stocks show promising upside for long-term investors. | [Link](https://longbridge.com/en/news/276392243.md) |
| Infosys Unveils AI First Value Framework | Infosys Ltd :INFOSYS - INFOSYS UNVEILS AI FIRST VALUE FRAMEWORK | [Link](https://longbridge.com/en/news/276131501.md) |
| Big Tech should sell America on AI data centers, not the other way around | AI data centers are crucial for the U.S. to maintain competitiveness in the global AI race, yet many communities oppose  | [Link](https://longbridge.com/en/news/276472600.md) |
| Sony Targets AI Music Attribution With New Detection Tool | Sony Targets AI Music Attribution With New Detection Tool | [Link](https://longbridge.com/en/news/276022057.md) |
| AI adoption already hitting Irish graduate jobs, finance department says | AI adoption already hitting Irish graduate jobs, finance department says | [Link](https://longbridge.com/en/news/276250701.md) |

---

> **Disclaimer**: This article is for reference only and does not constitute any investment advice.