Soochow Securities has issued a research report maintaining a "Buy" rating on SY HOLDINGS (06069). The firm is optimistic about SY HOLDINGS' deep cultivation in supply chain finance and fintech services. While slightly lowering its forecast for 2025 net profit attributable to the parent company due to the pace of innovative business development, the brokerage has raised its forecasts for 2026 and 2027. It now expects net profits for 2025, 2026, and 2027 to be RMB 480.57 million, RMB 679.44 million, and RMB 856.03 million, respectively, compared to previous estimates of RMB 497.43 million, RMB 655.01 million, and RMB 821.54 million. The current stock price corresponds to price-to-earnings (P/E) ratios of 21, 15, and 12 times for those years, respectively. Soochow Securities views the company's current valuation and dividend yield as attractive.
The key points from the report are as follows:
The company has entered into a strategic partnership with Yangtze Optical Fibre And Cable Joint Stock Limited Company, a global leader in the optical communications industry. The collaboration will focus on three key areas: complementary industrial resources, ecological data linkage, and innovative supply chain services. This partnership aims to jointly capture market opportunities arising from the construction of new optical network infrastructure in the AI era.
This cooperation is expected to bring substantial business growth for SY HOLDINGS. Firstly, with the accelerated development of AI technology, optical communication networks are evolving towards ultra-large bandwidth, ultra-low latency, and intelligence, becoming a critical component of new information infrastructure. Yangtze Optical Fibre will help SY HOLDINGS quickly enter the optical communications sector and precisely understand industry characteristics and customer needs. Secondly, Yangtze Optical Fibre is a leading global provider of fiber preforms, optical fibers, cables, and comprehensive solutions, and is the only company worldwide that has mastered and commercialized the three major preform manufacturing technologies.
The development of SY HOLDINGS' innovative businesses has exceeded expectations. In its e-commerce segment, the company has surpassed expectations in both platform coverage and business growth. It has achieved coverage across six major e-commerce platforms, including Douyin, Shein, Shopee, Kuaishou, WeChat Channels, and Dewu. Leveraging its AI applications and platform integration capabilities, SY HOLDINGS has deeply embedded its digital services into the ecosystems of these platforms. As of December 31, 2025, the cumulative business volume from platform services in the e-commerce segment exceeded RMB 6 billion, representing a year-on-year increase of more than 4.4 times.
The overseas services business has achieved a breakthrough from zero to one. Utilizing its geographical advantage in Singapore and resources from strategic shareholders in Southeast Asia, the company has established an international headquarters in Singapore and built a professional team. It focuses on serving the overseas expansion needs of Chinese brands in sectors such as robotics and new energy vehicles, providing one-stop solutions covering logistics, warehousing, customs clearance, and order matching. By December 31, 2025, SY HOLDINGS had formed strategic partnerships with nearly 10 pre-IPO robotics companies and established a cooperative relationship with Carro, Southeast Asia's largest online used car platform, to jointly assist new energy vehicle brands like Zeekr in exploring overseas markets.
AI services are accelerating their commercialization. The "Shengyitong Cloud Platform" deeply integrates mainstream open-source large language models like DeepSeek, Tongyi Qianwen, and Doubao. Combined with SY HOLDINGS' own advantages in algorithms, computing power, and data, the platform has developed specialized AI service capabilities for key supply chain management processes, enabling it to match clients with optimal solutions.
The report concludes with risk warnings, including policy and regulatory risks, credit risk spillover, trade authenticity risks, and foreign exchange risks.