CITIC International raised the target price of WuXi XDC to 91 yuan and upgraded earnings forecasts

Jiangyin International's research report points out that WuXi XDC (02268.HK) has released a positive profit forecast for 2025, with revenue expected to grow by over 45% year-on-year, benefiting from rapid order growth and the production launch of Wuxi DP3; gross profit is expected to increase significantly by over 70%, driven by improvements in capacity utilization and production efficiency, as well as effective cost control continuing to drive margin improvement. The order performance is also impressive, with the company signing a total of 70 new comprehensive CMC projects in 2025, bringing the total number of comprehensive CMC projects to 252 by the end of the year, ranking first in the global XDC/XDCCRDMO track.

Based on the company's performance forecast from last year, a more aggressive capacity expansion plan, and the latest guidance from management, Jiangyin International has raised its net profit forecast for the company for the next two years by 2% to 3% and increased its profit and capital expenditure forecasts for after 2027. Using a discounted cash flow rate, it has raised its target price to 91 yuan, maintaining a "Buy" rating and a top recommendation in the CXO industry.

The firm is optimistic about the long-term high growth certainty of the leading player in the high prosperity track of WuXi XDC