SCS(601555) 证券时报网·2025-02-21 08:36Core Viewpoint - Dongwu Securities has initiated a "Buy" rating for Hongteng Precision, highlighting its strong competitiveness in the interconnected solutions sector, particularly in AI and automotive fields, which opens new growth opportunities [1] Group 1: Strategic Initiatives - Hongteng Precision is executing a "3+3" strategy, focusing on three key industries: electric vehicles (EV), 5G AIoT, and audio products [1] - The company has made several strategic acquisitions, including Avago's optical module business in 2015, Belkin in 2018, SSI in 2021, and Prettl SWH in 2023, enhancing resource integration and product diversification [1] - With over 40 years of experience in precision component manufacturing and large-scale vertical integration, Hongteng Precision has established technological barriers and scale advantages [1] Group 2: Market Position and Collaboration - As the only connector cable platform under Foxconn Group, Hongteng Precision benefits from the group's ecosystem synergy [1] - Foxconn Group ranks first globally in electronic manufacturing services, holding over 40% market share [1] - In the AI server sector, Foxconn Group and its subsidiary, Industrial Fulian, are key partners of Nvidia, leveraging advantages in assembly and liquid cooling [1] Group 3: Industry Trends and Future Outlook - The report indicates a rapid increase in computing power demand, leading to trends of high-speed, miniaturization, and integration in communication connectors and cables [2] - The electrification and intelligence trends in the automotive sector are driving an increase in sensor usage, enhancing the value of connection links [2] - Hongteng Precision has maintained a leading global market share in TWS earphones through years of collaboration with a major global consumer electronics client [2] - With the launch of production lines in India, Hongteng Precision's assembly outsourcing share is expected to further increase [2]