Core Viewpoint - Nomura has raised the target price for China Software International (00354) by 33.9%, from HKD 5.6 to HKD 7.5, while maintaining a "Buy" rating [1] Group 1: Business Performance - The worst period for China Software International may be over, as its core IT outsourcing business shows signs of recovery with a year-on-year growth of 7% in the first half of 2025, primarily benefiting from Huawei's business restructuring [1] - Despite facing pricing pressure in traditional IT outsourcing, the company is expected to achieve mid to high single-digit year-on-year growth in this segment from fiscal years 2025 to 2027 [1] Group 2: Revenue and Profitability Outlook - The overall revenue growth for the company is projected to reach 10-15% (low teens) year-on-year during the same period [1] - Due to the increasing contribution from higher-margin AI cloud services, the company's profit margins are expected to expand over the next 2-3 years [1]