SUNNY OPTICAL(02382) 华泰证券·2024-07-23 10:02Investment Rating - The report maintains a "Buy" rating for the company with a target price of HKD 60.00 [1][5][10] Core Views - The company is expected to achieve a strong recovery in profits, primarily driven by improvements in product mix, particularly in mobile camera lenses and modules, as well as growth in automotive-related businesses [2][3][4] - The forecast for net profit for 2024, 2025, and 2026 has been raised by 42%, 37%, and 38% respectively, reaching RMB 23.17 billion, RMB 27.67 billion, and RMB 33.57 billion [2][5] - The report highlights that the mobile business is projected to see a sales increase of 13% in the first half of 2024, with a significant rise in shipment volumes for mobile camera lenses and modules [3][4] Summary by Sections Financial Forecasts - Revenue for 2024 is estimated at RMB 38,433 million, with a year-on-year growth of 21.31% [1][13] - The company's net profit for 2024 is projected to be RMB 2,317 million, reflecting a significant recovery from previous years [1][13] - The report anticipates a gross margin improvement in mobile camera modules due to a better product mix and rising average selling prices [3][4] Business Segments - Mobile Business: Expected sales of RMB 110 billion in the first half of 2024, with a 24% increase in shipment volumes for mobile camera lenses and a 14% increase for modules [3] - Automotive Business: Anticipated sales growth of 22% in the first half of 2024, with total sales projected to reach RMB 64 billion for the year [4] - The report emphasizes the stability of average selling prices and gross margins in the automotive segment [4] Valuation Methodology - The target price of HKD 60 is derived using the Sum-of-the-Parts (SOTP) valuation method, corresponding to a 26x PE ratio for 2024 [5][10] - The valuation breakdown includes HKD 20.8 for automotive business, HKD 10.1 for AR/VR products, HKD 19.9 for mobile business, and HKD 9.3 for other businesses [5][10]