What guidance or outlook did GDS provide for FY2025 and the upcoming quarters, and how might that influence the stock price?

Guidance & Outlook:

In the Q2‑2025 release GDS Holdings reiterated a bullish FY 2025 outlook, projecting total revenue to rise 30‑35 % year‑over‑year to roughly CNY 13‑14 bn and EBITDA to exceed CNY 5.5 bn, translating to an EBITDA margin of 42‑45 %. The company also signaled that the third‑quarter and full‑year guidance remain unchanged, with capacity utilization expected to stay above 85 % as demand from cloud, AI‑training and hyperscale customers accelerates. Management highlighted a pipeline of four new data‑center builds slated for completion by year‑end, and a ~10 % increase in average selling price (ASP) driven by higher‑density power‑and‑cooling solutions.

Trading Implications:

The upbeat FY 2025 guidance, coupled with strong Q2 fundamentals (double‑digit revenue growth and margin expansion), reinforces the “growth narrative” that has underpinned GDS’s recent rally. In the short term the stock is likely to break above the recent resistance at $130‑$135, testing the prior high‑volume rally zone near $150. On a technical basis, the move above the 50‑day EMA with rising volume suggests a momentum‑driven upside bias. For risk‑adjusted entries, many traders will look for a pull‑back to the $135‑$138 support zone (the 20‑day EMA) before adding positions, while setting a stop‑loss around $128 (just below the 200‑day EMA). The combination of robust FY 2025 guidance, expanding capacity, and an improving macro‑environment for Chinese data‑center demand makes the stock a clear buy‑the‑dip candidate for medium‑term investors, with a price target of $165‑$175 if the company continues to hit its capacity‑utilization and margin milestones.