兆易创新：业绩持续改善，多产品线布局助力公司长期稳健增长

Investment Rating - The report assigns a "Buy-A" rating for the company, indicating a positive outlook for its stock performance in the coming months [1][5]. Core Views - The company has shown continuous improvement in its performance, with a significant increase in revenue and net profit driven by a recovery in downstream demand and an increase in storage product shipments [1][4]. - The company is well-positioned for long-term stable growth due to its diversified product lines and ongoing market expansion efforts [1][4][5]. Financial Performance - In the first half of 2024, the company achieved revenue of 36.09 billion yuan, a year-on-year increase of 21.69%, and a net profit of 5.17 billion yuan, up 53.88% year-on-year [1]. - For Q2 2024, the company reported revenue of 19.82 billion yuan, reflecting a year-on-year growth of 21.99% and a quarter-on-quarter increase of 21.78% [1]. - The gross margin improved to 38.16%, up 4.73 percentage points year-on-year, attributed to product structure optimization and cost reduction efforts [1][4]. Product Line and Market Strategy - The company has made significant advancements in its product lines, including DRAM, NOR Flash, SLC NAND, microcontrollers (MCUs), and sensors, with a focus on high-potential markets such as automotive and industrial automation [2][4]. - The company is recognized as the second-largest NOR Flash supplier globally, with a comprehensive product range and a strong market position [2][4]. - The MCU segment has seen recovery in demand from both consumer and industrial clients, with a focus on expanding into automotive and industrial automation sectors [4]. Future Outlook - The company is expected to maintain robust growth, with projected EPS of 1.72, 2.46, and 3.18 for 2024, 2025, and 2026, respectively, indicating a positive earnings trajectory [5][7]. - The report anticipates a recovery in the semiconductor market, which will provide a favorable external environment for the company's growth [4][5].