Understanding the Market | FOURTH PARADIGM rises over 4%, recently receiving target price upgrades from multiple institutions, with institutions optimistic about AI applications closely following the wave of computing power

FOURTH PARADIGM rose over 4%, as of the time of writing, it increased by 4.45%, priced at HKD 59.85, with a transaction volume of HKD 486 million. On the news front, Oracle's AI cloud business guidance released after hours exceeded expectations, with a total remaining performance obligation of USD 455 billion for the first quarter of fiscal year 2026, a substantial year-on-year increase of 359%. Haitong International pointed out that in August, the State Council issued the "Opinions on Deepening the Implementation of the 'Artificial Intelligence +' Action," and domestic computing power leader Cambricon saw its revenue surge by 4348% in the first half of this year. Alibaba reiterated that its AI capital expenditure will reach HKD 380 billion within three years. There is optimism that AI applications will accelerate in line with the computing power wave. Notably, several well-known brokerages have recently raised their target prices for FOURTH PARADIGM, unanimously optimistic about this AI pioneer’s growth potential and unique value in the "Artificial Intelligence +" era. CMB International raised FOURTH PARADIGM's target price from HKD 64 to HKD 81, maintaining a "Buy" rating. Daiwa believes that FOURTH PARADIGM has a solid position in the AI field and will be a beneficiary of the "AI+" development trend, raising the company's target price from HKD 58 to HKD 74