Key Takeaways:
CICC boosted its price target for KNOWLEDGE ATLAS (02513.HK) by 13% to $900, citing API revenue growth that sharply beat the investment bank's forecasts.
In a research report, CICC said the growth trajectory of API ARR in 2026 "significantly beat the projections of the broker/ market," maintaining its Outperform rating.
The bank's action followed a company disclosure that annual recurring revenue from its Mobility as a Service (MaaS) APIs reached RMB 1.7 billion as of March 2026, a 60-fold increase from the prior year. The company's 2025 results were in line with expectations, with revenue of RMB 724 million, up 132% year-over-year, and an adjusted net loss of RMB 3.18 billion.
The stock surged over 32% on the news. CICC's new target is based on a 50x price-to-sales multiple on 2027 estimates, indicating investors are shifting focus from prior losses to the company's high-growth, high-margin API revenue stream.
The dramatic expansion in recurring revenue suggests that improvements in KNOWLEDGE ATLAS's model intelligence are successfully translating into increased downstream demand. While the company's 2025 adjusted net loss was substantial at RMB 3.18 billion, the market's positive reaction indicates a re-rating is underway, prioritizing future ARR growth over historical losses. The report from CICC is one of the first major analyst revisions following the data release.
The sharp upward revision from a major bank suggests a new valuation framework for KNOWLEDGE ATLAS, anchored to its fast-growing API business rather than past performance. Investors will now watch for the company's next quarterly update to see if the 60x ARR growth momentum can be sustained.
This article is for informational purposes only and does not constitute investment advice.
