GREAT MICROWAVE(SH:688270)2024-10-29 03:50Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for its stock performance relative to the market [3][4]. Core Insights - The company reported a revenue of 182 million yuan for the first three quarters of 2024, reflecting a year-over-year increase of 7.01%. However, the net profit attributable to the parent company decreased by 63.79% to 14 million yuan during the same period [3][4]. - The company is experiencing stable revenue growth driven by its three main business segments: ADDA, power management chips, and micro-systems and components. The demand from the satellite and radar industries is expected to accelerate, contributing to future revenue increases [3][4]. - The gross margin for the first three quarters of 2024 was 84.11%, down 5.58 percentage points from the previous year, while the net profit margin decreased by 15.50 percentage points to 7.93% due to high operating expenses [3][4]. - The company has a high inventory level of 123 million yuan, which is anticipated to convert into revenue as orders are fulfilled, supporting future performance recovery [3][4]. - The company is positioned as a core supplier in the high-end specialty chip market, with three key growth drivers: increasing demand from downstream industries, superior product performance compared to international standards, and a focus on the commercial low-orbit satellite market [3][4]. Financial Summary - The total revenue for 2024 is projected to be 322 million yuan, with a year-over-year growth rate of 14.7%. The net profit is expected to be 74 million yuan, reflecting a slight increase of 1.6% [4][5]. - The earnings per share (EPS) for 2024 is estimated at 0.34 yuan, with a projected PE ratio of 101 [4][5]. - The company anticipates a significant increase in revenue and net profit by 2026, with projections of 622 million yuan in revenue and 157 million yuan in net profit, representing growth rates of 43.4% and 50.2%, respectively [4][5].