Citi has released a research report reiterating its "Buy" rating on HANS CNC (ASX: 03200) with a target price of HK$189.

While the market remains concerned about a potential slowdown in AI PCB capacity expansion, HANS CNC's PCB equipment peer, Taiwan's Ta Liang Technology (3167.TW), saw its monthly revenue year-on-year growth accelerate from 153% in August to 172% in September, reflecting that the PCB manufacturer expansion boom is continuing without any signs of slowing.

Citi noted that although HANS CNC and Ta Liang Technology have different customer bases—with the former primarily serving Chinese PCB manufacturers and the latter focusing more on Taiwanese PCB makers—the bank expects HANS CNC to show a similar revenue growth trend in the third quarter of this year.

Based on supply chain sources, Chinese PCB manufacturers may be more aggressive than their Taiwanese counterparts when entering the AI supply chain.