DBS Reaffirms Buy Rating on VNET (VNET), Sets $12.50 Price Target

Core Viewpoint - VNET Group Inc. is highlighted as a promising investment opportunity in the Chinese tech sector, with a maintained Buy rating and a price target of $12.50 per share set by DBS analyst Andy Yu [1][2]. Financial Performance - VNET reported total net revenues of RMB 2.58 billion for Q3 2025, representing a 21.7% increase year-over-year and exceeding analyst expectations by approximately 8% [2]. - The company experienced a net loss attributable to ordinary shareholders of RMB 307.0 million, equating to RMB 0.19 per basic and diluted share, which, while wider than the previous year's loss, aligns with expectations for adjusted figures around $0.02 per share [3]. - VNET raised its full-year 2025 revenue forecast to a range of RMB 9.55 billion to RMB 9.87 billion, driven by strong wholesale momentum and AI-related deals [3]. Company Overview - VNET Group Inc. is a leading carrier-neutral data center and cloud services provider in China, operating over 50 data centers across more than 30 cities, offering services such as colocation, managed hosting, and cloud computing infrastructure [4].