Strong content boost to 2027F growth: Thermal upgrade is structural, manifested by a much higher value in new AI GPU platforms; maintain Buy

Nomura reiterates Buy on Jentech Precision Industrial (3653.TW) and raises its target price to TWD8,650 from TWD4,785, based on 35x 2027F EPS of TWD247 versus 42x 2027F EPS of TWD113.85 previously, implying about 39% upside. The broker lifts 2026F earnings by 16% to reflect a higher content value of the integrated heat spreader (IHS) in this year's new merchant GPU despite a thermal design retreat at that customer, and raises 2027-28F earnings by 117% and 74% on potential IHS design upgrades in subsequent GPU refreshes plus content upside from other AI customers adopting IHS plus stiffener. Nomura argues chip thermal dissipation is increasingly critical in next-generation AI platforms such as co-packaged optics and integrated voltage regulators, and that Jentech's leading IHS position should benefit. 3Q26 gross margin of 50.0% beat Bloomberg consensus of 49.3%, and 4Q26 revenue is expected to grow 8% q-q on cold plate ramp-up, while heat spreader sales are forecast to grow 244% y-y in