TSX up after index logs fresh record high close
Investing.com - JPMorgan has upgraded Shanghai MicroPort MedBot Group (HK:2252) from Neutral to Overweight and significantly raised its price target to HK$30.90 from HK$19.10.
The upgrade follows stronger-than-expected order trends in the first half of 2025, which JPMorgan analyst Derek Choi said confirms a structural shift in growth and profitability drivers for the surgical robotics company.
MicroPort MedBot reported impressive first-half results, with revenue increasing 77% year-over-year to RMB 176 million while net losses narrowed by 59%. Overseas sales emerged as the company’s core growth engine, surging 189% to account for 58% of total revenue.
The company’s consumables business for surgical robots now exceeds 10% of total revenue with higher margins, positioning the company for gross margin expansion through an improved product mix. MicroPort MedBot has also secured several new product approvals, including the single-port Toumai, the world’s first Toumai Remote approval in China, and multi-region approvals for its Honghu system.
Management has provided guidance of approximately 85% revenue growth for fiscal year 2025, with expectations for further loss reduction, tightly controlled capital expenditures of RMB 5-10 million, and reduced free cash outflow.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.