Kingsoft Cloud (03896.HK) Becomes a Hot Stock in Hong Kong: Q3 Profit Inflection Point Emerges, High Growth of Intelligent Computing Cloud Business Drives Valuation Increase

Kingsoft Cloud (03896.HK) is a leading independent cloud service provider in China, offering IaaS, PaaS, and customized application services [0]. The 2025 Q3 financial report shows revenue of RMB 2.48 billion, a YoY increase of 31%, and adjusted net profit turned profitable for the first time, marking the arrival of a profit inflection point [0]. The core growth engine is the intelligent computing cloud business, which grew nearly 120% YoY and accounted for 45% of public cloud revenue [0]. The company deepened its ecological cooperation with Xiaomi Group, the team size of Wuhan R&D center surged 1.8 times, and the dual-center strategy supports AI innovation [0]. Recently, the stock price rose rapidly by over 4% in the afternoon, reflecting a positive market response [2].

The AI cloud computing sector has seen a rotational rise overall, coupled with the exposure of Google’s computing power target (to increase by 1,000 times in the next 4-5 years), which has boosted attention to the domestic AI computing power industry [5]. The high growth of Kingsoft Cloud’s intelligent computing cloud business is highly aligned with industry trends, and analysts generally favor its AI-driven public cloud expansion [0][1].

On the opportunity side, analysts have given a strong buy rating with an average target price of HK$10.37, implying a potential upside of 71.48% [0][3]. On the risk side, attention should be paid to the intensified competition in the AI computing power market and cyclical fluctuations in the cloud computing industry [1].

Kingsoft Cloud’s Q3 profit inflection point has emerged, and the intelligent computing cloud business has become the core growth driver; analysts maintain a positive rating. Investors can pay attention to the company’s AI computing power layout progress, deepening ecological cooperation, and industry policy changes [0][2][5].