WINGTECH(SH:600745) Huaxin Securities·2024-11-06 10:23Investment Rating - The report assigns a "Buy" rating for the company, marking the first coverage of the stock [1][3]. Core Insights - The semiconductor business shows steady growth, with significant improvement in the product integration segment in Q3 [1]. - For the first three quarters of 2024, the company achieved revenue of 53.161 billion yuan, a year-on-year increase of 19.70%. In Q3 alone, revenue reached 19.571 billion yuan, up 28.71% year-on-year [1]. - The net profit attributable to shareholders decreased by 80.26% year-on-year to 415 million yuan, while the net profit after deducting non-recurring gains and losses was 71 million yuan, down 96.41% [1]. - The gross margin for the product integration business improved significantly, with Q3 revenue of 15.73 billion yuan, a quarter-on-quarter increase of 14.79% and a gross margin of 3.8% [1][2]. Revenue and Profit Forecast - The company is projected to achieve revenues of 70.26 billion yuan, 77.103 billion yuan, and 85.153 billion yuan for 2024, 2025, and 2026 respectively, with corresponding EPS of 0.66 yuan, 2.02 yuan, and 2.49 yuan [3][5]. - The revenue growth rates are expected to be 14.8% in 2024, 9.7% in 2025, and 10.4% in 2026 [5]. Market Performance - The company's market capitalization is currently 56.2 billion yuan, with a current stock price of 45.2 yuan [1]. - The stock has a 52-week price range of 24.23 to 53.07 yuan, with an average daily trading volume of 706.66 million yuan [1]. Business Segments - The semiconductor segment is benefiting from the increasing penetration of new energy vehicles and the recovery in the industrial market driven by renewable energy installations and AI data centers [1]. - The product integration business is expected to improve significantly, leveraging traditional advantages in mobile and tablet markets while rapidly growing in new areas such as automotive and AIoT [2].