ThunderSoft(SZ:300496) EBSCN·2024-08-16 11:38Investment Rating - The report maintains a "Buy" rating for the company [4]. Core Views - The company is collaborating with Intel to develop the Drip OS smart cockpit and with AMD to create a new generation of integrated digital cockpit platforms, enhancing its technological capabilities in the automotive sector [1][2]. - Revenue forecasts for 2024 and 2025 have been adjusted downwards to 6 billion and 7.1 billion CNY, respectively, reflecting a decrease of 23% and 27% from previous estimates, while a new revenue forecast of 8.1 billion CNY for 2026 has been introduced [2]. - Net profit forecasts for 2024 and 2025 have also been reduced to 627 million and 761 million CNY, representing a decrease of 38% and 46%, with a new forecast of 988 million CNY for 2026 [2]. Summary by Relevant Sections Revenue and Profitability - The company's revenue for 2022 was 5,445 million CNY, with a projected growth to 6,006 million CNY in 2024 and 7,102 million CNY in 2025, reflecting growth rates of 14.57% and 18.25% respectively [3]. - Net profit for 2022 was 769 million CNY, expected to decline to 627 million CNY in 2024 before recovering to 761 million CNY in 2025, with a growth rate of 21.36% [3]. Valuation Metrics - The current market capitalization corresponds to a price-to-earnings (P/E) ratio of 29x for 2024, 24x for 2025, and 19x for 2026 [2]. - The report highlights the company's strong technological foundation in AI PC, AI mobile, smart vehicles, and smart IoT, suggesting it is well-positioned to benefit from the current AI wave [2]. Strategic Collaborations - The partnership with Intel focuses on integrating high-performance computing capabilities into automotive applications, enhancing user experience through advanced 3D HMI technology [1]. - The collaboration with AMD aims to leverage its advanced APU technology to improve the performance and intelligence of digital cockpit systems [2].