HSBC initiates coverage on Bestechnic stock with Buy rating

Published 16/07/2025, 16:36
HSBC initiates coverage on Bestechnic stock with Buy rating

Investing.com - HSBC initiated coverage on Bestechnic (SS:688608) with a Buy rating and set a price target of RMB335.00, according to a research note released Wednesday.

The Chinese semiconductor company specializes in designing system-on-chips (SoCs) that integrate multiple functions onto single chips for wearable devices including True Wireless Stereo (TWS) earbuds, smartwatches, and AI glasses.

Bestechnic counts major technology companies among its customers, including Xiaomi (OTC:XIACF), Huawei, and Samsung (KS:005930), with TWS earbuds representing 62% of the company’s revenue in 2024.

HSBC forecasts Bestechnic will generate compound annual growth rates of 38% for revenue and 57% for net profit from 2024 to 2027, driven by the rapidly growing wearables market.

The investment bank expects smartwatches to become Bestechnic’s main growth driver, replacing TWS earbuds, as the company expands its total addressable market through its latest SoC platform.

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