Hygon Information Technology (688041) Huaxin Securities·2025-02-04 02:05Investment Rating - The report assigns a "Buy" investment rating for the company, indicating a positive outlook for its stock performance in the upcoming year [8]. Core Insights - The company is expected to achieve a revenue of between 872 million to 953 million yuan in 2024, representing a year-on-year growth of 45.04% to 58.52%. The projected net profit attributable to shareholders is estimated to be between 181 million to 201 million yuan, with a growth rate of 43.29% to 59.12% [1][2]. - The company's DCU products are rapidly evolving and gaining market recognition, supporting various applications in data centers, cloud computing, and high-performance computing, which is driving significant revenue growth [2][3]. - The DeepSeek V3 and R1 models have been successfully adapted to the company's DCU technology, enhancing performance through innovative techniques such as Multi-Head Latent Attention and reinforcement learning, making them suitable for complex decision-making tasks [4][7]. Summary by Sections Financial Performance - The company forecasts revenues of 877.2 million, 1,231.1 million, and 1,639.6 million yuan for 2024, 2025, and 2026 respectively, with corresponding EPS of 0.82, 1.18, and 1.58 yuan. The current stock price reflects a PE ratio of 156, 108, and 81 times for the same years [8][10]. Product Development - The company is making significant progress with its deep computing series products and is increasing investments in DCU software, creating a comprehensive software stack that is compatible with major deep learning frameworks [3][4]. - The DCU technology is being applied across various sectors, including education, finance, healthcare, and government, indicating a broad market application and scalability [7]. Market Position - The company maintains a leading position in the domestic general computing market, driven by strong R&D investments and continuous technological innovation [2][3].