BofA Securities has released a research report indicating that due to upward pressure on raw material prices, the firm has reduced its 2026 earnings forecast for Luxshare Precision Industry Co.,Ltd. (002475.SZ) by 5%. Concurrently, the bank has made slight adjustments to its 2027-2028 projections based on company guidance, lowering the A-share target price from RMB 78 to RMB 76 while reiterating a "Buy" rating.

According to the report, Luxshare Precision Industry Co.,Ltd. posted a second-quarter net profit of RMB 4.2 billion, marking a 16% year-on-year increase. This result came in at the lower end of the company's previous guidance, falling 3% and 4% below the bank's and market consensus estimates, respectively.

During the period, the company's revenue reached RMB 90.6 billion, representing a substantial 45% year-on-year growth, which exceeded both the bank's and market expectations by 9% and 6%, respectively. On the operational front, the company has made notable progress in AI server components and optical technology, with management expressing confidence in securing more than 50% market share in domestic supercluster cables and connectors by next year.