Victory Giant Technology - H: Near-term headwinds, but capacity leadership remains the key differentiator; reiterate OW

Research evidence excerpt

Victory Giant Technology - H: Near-term headwinds, but capacity leadership remains the key differentiator; reiterate OW

Asia Pacific Equity Research

20 July 2026

Overweight

Victory Giant Technology - H 2476.HK, 2476 HK

Price (17 Jul 26): HK$215.00

Near-term headwinds, but capacity leadership

▼ Price Target (Jun-27): HK$500.00

remains the key differentiator; reiterate OW Prior (Jun-27): HK$600.00

Recent investor focus has centered on VGT’s initial share allocation in China

Vera Rubin and the timeline of the Kyber project – although we believe Technology

investors have placed too much emphasis on such uncertainties while AC Cherry Liu

overlooking the key determinant of market share in the next two to three (86-21) 6106-6200

years. In our view, high-quality manufacturing capacity, not initial share ye.liu@jpmorgan.com

allocation, will ultimately determine suppliers’ wallet share for AI PCB SAC Registration Number: S1730521090001

projects. While Kyber remains under testing, with higher PCB complexity Billy Feng

posing challenges, we believe stronger demand for NVDA’s current (86-21) 6106 6359

generations and expanding share in Google’s projects should partly offset billy.feng@jpmorgan.com

the impact to VGT if Kyber is delayed. We lower our Jun-27 PT to SAC Registration Number: S1730520030005

HK$500 to reflect these headwinds but believe the recent correction has Ri Xu

more than priced in such risks, leaving an attractive risk-reward profile. (86-21) 6106 6318

ri.xu@jpmchase.com

• Initial Rubin allocation does not determine long-term market share. SAC Registration Number: S1730522100001

J.P. Morgan Securities (China) Company Limited

Our supply chain checks suggest that Vera Rubin PCB mass production