JCET(SH:600584) Orient Securities·2024-08-31 04:40Investment Rating - The report maintains a "Buy" rating for the company with a target price of 44.07 CNY based on a 39x PE valuation for 2024 [2][6][4] Core Insights - The company reported significant revenue growth in Q2 2024, achieving 86.4 billion CNY in revenue, a year-on-year increase of 37%, and a net profit of 4.8 billion CNY, up 26% year-on-year [1] - The growth is attributed to a recovery in downstream market demand, improved capacity utilization, and a focus on high-performance advanced packaging [1] - The company is strategically expanding into high-value markets such as automotive electronics, high-performance computing, storage, and 5G communications, with notable revenue increases across all downstream sectors [1] Financial Performance Summary - For H1 2024, the company achieved a total revenue of 154.9 billion CNY, a 27% increase year-on-year, and a net profit of 6.2 billion CNY, up 25% year-on-year [1] - The comprehensive gross margin for H1 2024 was 13.4%, a slight decrease of 0.2 percentage points year-on-year, while the net margin was 4.0%, down 0.1 percentage points [1] - The company forecasts net profits of 20.2 billion CNY, 29.5 billion CNY, and 36.7 billion CNY for 2024, 2025, and 2026 respectively, reflecting adjustments in revenue and cost estimates [2][6]