Guotai Junan Securities·2024-08-14 05:23Investment Rating - The report maintains an "Accumulate" rating for the company with a target price of 62.50 [1][3] Core Views - The company's revenue for Q2 exceeded expectations due to a recovery in downstream demand, with a year-on-year increase of 22% and a quarter-on-quarter increase of 9% [2][3] - The average selling price of products decreased by 8% quarter-on-quarter, but gross profit reached 265.1 million USD, maintaining a gross margin of 13.9% [3] - The company is positioned as a leader in domestic logic chip manufacturing, benefiting from the recovery in mobile chip demand and the implementation of AI applications [3] Financial Summary - Revenue projections for 2024, 2025, and 2026 have been raised to 577 billion, 644 billion, and 718 billion CNY respectively, compared to previous estimates of 497 billion, 566 billion, and 654 billion CNY [3] - The EPS for 2024 has been slightly adjusted down to 0.38 CNY from 0.40 CNY, while the EPS for 2025 and 2026 has been slightly increased to 0.56 CNY and 0.70 CNY respectively [3] - The company’s Q2 2024 revenue is projected to be 1901.3 million USD, with a gross margin expected to be between 18% and 20% in Q3 [3][4] Market Data - The current stock price is 49.20 CNY, with a market capitalization of 391,455 million CNY [5] - The stock has a 52-week price range of 40.33 to 58.31 CNY [5] Balance Sheet Summary - Total assets are projected to be 353,081 million CNY in 2024, with total liabilities of 129,913 million CNY [10] - Shareholder equity is expected to reach 223,169 million CNY in 2024, with a net asset value per share of 17.93 CNY [6][10]