Core Viewpoint - Guojin Securities initiates coverage on Gao Wei Electronics (01415) with a "Buy" rating, projecting net profits for 2025-2027 to reach $191 million, $225 million, and $336 million, respectively, with corresponding P/E ratios of 19x, 17x, and 11x [1] Group 1: Financial Projections - The target market capitalization for Gao Wei Electronics is set at HKD 419.90 billion, with a target price of HKD 48.38 per share for 2026 based on a 24x P/E ratio [1] - The company is expected to achieve significant revenue growth driven by strong demand for iPhones and iPads, with iPhone camera module value increasing from the 13 series to the 16 series by approximately $37 [1] Group 2: Customer Dependency and Competitive Position - Gao Wei Electronics has a deep binding with Apple, with 98.1% of total revenue in H1 2025 coming from Apple, benefiting from strong customer loyalty due to collaboration with Luxshare Precision and significant capital expenditure [1] - The exit of major competitor Sharp from the rear camera module supply chain is reshaping the competitive landscape, allowing Gao Wei Electronics to capture more market share in ultra-wide-angle and periscope modules [2] Group 3: Growth Opportunities - The company is expected to enter the higher-value main camera segment by 2027, creating new growth opportunities as Apple seeks to balance its supply chain and reduce costs [2]