OPTOWIDE(SH:688195) Huaxin Securities·2024-09-19 22:38Investment Rating - The investment rating for the company is "Buy" (maintained) [4][6]. Core Insights - The company's revenue is steadily increasing, with a significant growth in profitability. In the first half of 2024, the company achieved a revenue of 212 million yuan, representing a year-on-year growth of 26.77%, and a net profit attributable to shareholders of 33 million yuan, up 60.98% year-on-year [4][6]. - The acceleration of domestic high-end components localization and strong R&D efforts are building a competitive moat for the company [3][4]. - Continuous expansion of domestic and international business, along with a diversified layout, is driving growth [3][4]. Summary by Sections Financial Performance - In H1 2024, the company reported a revenue of 212 million yuan, a 26.77% increase year-on-year, and a net profit of 33 million yuan, a 60.98% increase year-on-year. The second quarter alone saw a revenue of 118 million yuan, up 32.12% year-on-year, and a net profit of 22 million yuan, up 55.74% year-on-year [4][6]. - The company’s R&D investment reached 22.27 million yuan, accounting for 10.53% of revenue, with a year-on-year increase of 45.29% [4][6]. Business Development - The company is actively seizing market opportunities driven by AI computing power, expanding its optical communication business, and exploring new applications in biomedicine and semiconductor equipment [4][5]. - The company has initiated projects for functional crystal materials and devices, with some products beginning mass production [4][5]. Earnings Forecast - The forecasted revenue for 2024-2026 is 510 million, 684 million, and 872 million yuan, respectively, with corresponding EPS of 0.58, 0.80, and 1.00 yuan. The current stock price corresponds to PE ratios of 37, 27, and 22 times for the respective years [6][8].