Despite the fact that Apple’s long-awaited foldable would possibly nonetheless be months or years away, patrons are lining up for a possible primary provider: Chinese language glass maker Lens Generation . It’s “one of the key beneficiaries of [the] foldable iOS smartphone supply chain,” Citi analysts led by way of Kyna Wong mentioned in a July 14 file about Lens Tech. They estimate the software may give a contribution to five% of the Chinese language corporate’s earnings upcoming time, and 12% in 2027. In a file closing presen, respected Apple analyst Ming-Chi Kuo stored up expectancies that the iPhone maker will start creating a foldable upcoming time. Apple has no longer made any bulletins, and didn’t straight away reply to a request for touch upon whether or not Lens Tech would serve the “ultra thin glass” that covers the telephone show panel. The Citi file initiated protection of Lens Tech later its get up out Hong Kong population providing on July 9 — elevating 4.77 billion HKD ($610 million) at the alternate’s busiest presen ever for listings — 5 IPOs immediately. Storagefacility of The united states Securities was once one of the most underwriters. The Citi analysts price Lens Tech a purchase, with a value goal of 26 HKD ($3.13), or just about 25% upside from Friday’s alike. “We believe the H-share listing is positive for the company,” the analysts mentioned, “as it should provide more cash for potential R & D initiatives and overseas capacity expansion, and expand the overseas institutional investor base.” U.S. hedge charity multi-millionaire Steve Cohen has jumped in, with more than one purchases over 3 days that introduced his stake in Lens Tech to eight.41% of issued balloting stocks, consistent with filings with the Hong Kong hold alternate. About 30% of proceeds raised from the Hong Kong providing will progress in opposition to growing foldable displays, Lens Tech mentioned in its prospectus. “By increasing our production capacity in China, we aim to ensure robust support for the mass production of middle and high-end foldable smartphones for our customers and improve our market share in foldable screens,” the corporate mentioned. Lens Tech didn’t title Apple, however disclosed that its biggest buyer has been a Nasdaq-listed U.S. multinational based in 1976 — and mentioned the trade dating began “almost two decades ago when Customer/Supplier A was developing the industry’s first touch-enabled smartphone with full-sized screen.” Lens Tech’s unedited list follows a pattern this time of extra mainland Chinese language firms going population in Hong Kong, which is more uncomplicated for global buyers to get admission to. The corporate already trades at the Shenzhen Alternate. “We expect Lens to benefit from the foldable iPhone launch [and] AI glasses & robotics” that power income expansion of no less than 20% a time in 2026 and 2027, UBS analyst Zoe Xu and a group mentioned in a isolated July 14 file. They resumed protection of the mainland China-traded stocks with a purchase ranking and a unused value goal of 26.20 yuan, up from 16 yuan up to now. The Citi analysts additionally raised their value goal on Lens Tech’s mainland-traded stocks to 32 yuan ($4.45) from 25 yuan. Lens Tech has been decreasing its reliance on Apple earnings, and states in its prospectus that “Customer B” is a “Nasdaq-listed American company founded in 2003 that designs and sells smart vehicles.” Alternative indexed shoppers come with South Korean, French and Chinese language firms. The united statesanalysts identified that Lens Tech stocks stay depressed later a 30% topple within the presen following U.S. “Liberation Day” price lists in early April. However they be expecting the corporate can take pleasure in promoting to Chinese language startups comparable to roguish glasses corporate Rokid and Zhiyuan Robotics. Or even with no attainable foldable iPhone, Lens Tech can most probably take pleasure in promoting shield glass for this time’s iPhone 17 which is anticipated to deal a slimmer design. Lens Tech famous in its prospectus that its direct exports to the U.S. are restricted and that it plans to virtue Hong Kong list proceeds to amplify manufacturing out of the country in Vietnam and Thailand. Along with China, the corporate mentioned it already has factories in Vietnam and Mexico. — CNBC’s Michael Bloom contributed to this file.
