Nexchip Semiconductor Corporation(SH:688249) Great Wall Securities·2024-11-01 02:10Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of over 15% relative to the industry index within the next six months [13]. Core Insights - The company reported significant year-on-year improvements in its financial performance for the first three quarters of 2024, with operating revenue reaching 6.775 billion yuan, a 35.05% increase, and net profit attributable to shareholders amounting to 279 million yuan, a remarkable growth of 771.94% [1]. - The company's capacity utilization remains high, with continuous full-load operations since March 2024, contributing to steady revenue and gross margin growth [2]. - The demand for the company's CIS products is robust, driven by the recovery in the smartphone and semiconductor markets, with CIS becoming the second-largest revenue contributor [3]. Financial Performance Summary - For 2024, the company expects operating revenue to be 9.235 billion yuan, with a year-on-year growth rate of 27.5% [1]. - The gross margin for the first three quarters of 2024 was 25.26%, an increase of 6.64 percentage points year-on-year, while the net profit margin improved to 4.37%, up by 5.67 percentage points [2]. - The company anticipates net profits of 504 million yuan, 858 million yuan, and 1.476 billion yuan for 2024, 2025, and 2026, respectively, with corresponding EPS of 0.25 yuan, 0.43 yuan, and 0.74 yuan [6].