Avary Holding(SZ:002938) KAIYUAN SECURITIES·2024-11-04 06:23Investment Rating - The investment rating for the company is "Buy" (maintained) [1][2] Core Views - The company reported a revenue increase in Q3 2024, with a year-on-year growth of 16.14% and a quarter-on-quarter growth of 60.89%. The net profit for Q3 2024 also saw significant growth, with a year-on-year increase of 15.26% and a quarter-on-quarter increase of 314.66% [2][3] - The company is positioned to benefit from the recovery in the consumer electronics industry and the growth in AI-related products, maintaining profit forecasts for 2024-2026 with expected net profits of 35.52 billion, 44.17 billion, and 48.62 billion respectively [2][3] Summary by Sections Financial Performance - For the first three quarters of 2024, the company achieved a total revenue of 234.87 billion, a year-on-year increase of 14.82%. The net profit attributable to the parent company was 19.74 billion, up 7.05% year-on-year, with a gross margin of 20.47% [2][4] - In Q3 2024, the company recorded a revenue of 103.6 billion, with a gross margin of 23.62%, reflecting a year-on-year increase of 0.78 percentage points and a quarter-on-quarter increase of 8.14 percentage points [2][4] Business Development - The company is expanding its capabilities in various sectors, including AI-related products, automotive electronics, and server markets. It is increasing production capacity for high-end HDI and SLP printed circuit boards to meet rising demand [3][4] - The company has established partnerships with major domestic and international clients in the automotive sector and is actively pursuing opportunities in the AI server market [3][4] Valuation Metrics - The projected earnings per share (EPS) for 2024-2026 are 1.53, 1.91, and 2.10 respectively, with corresponding price-to-earnings (P/E) ratios of 23.9, 19.2, and 17.5 [2][4] - The company’s total market capitalization is approximately 849.75 billion, with a current stock price of 36.65 [5]