Morgan Stanley raised its target price for Zhipu by nearly 72% to HK$1,700 from around HK$990, helping send the Chinese artificial intelligence company's shares up more than 4% in intraday trading on Thursday and extending its gain over the past five sessions to more than 37%. The bank said better access to computing power and a newly completed funding round had eased two major constraints on Zhipu's growth. It also argued that China's large language model industry is moving away from price competition and toward commercialization based on model intelligence, a shift it said could have re-rating implications for the sector's valuation framework. Morgan Stanley maintained a constructive view on MiniMax but lowered its target price to HK$900 because its commercialization growth is expected to be more back-end loaded. The report also struck a positive tone on Alibaba, pointing to its end-to-end AI capabilities, computing-power advantages and expanding cloud margins. Hong Kong equities were broadly stronger, with the Hang Seng Index opening 0.53% higher and the Hang Seng Tech Index up 0.85%, while MiniMax shares gained 4.8%.