WUS(002463) 申万宏源证券·2025-03-31 14:13Investment Rating - The report upgrades the investment rating to "Buy" [2][6] Core Insights - The company's revenue from the communication board increased by 72% year-on-year, with switches becoming a new growth engine [1][6] - The financial performance for 2024 met expectations, with a total revenue of 13.34 billion yuan, a 49.3% increase year-on-year, and a net profit of 2.59 billion yuan, a 71.1% increase year-on-year [6][8] - The company anticipates significant growth in the AI server and high-speed switch markets, with the latter expected to see over 90% quarter-on-quarter growth in the second half of 2024 [6] Financial Data and Profit Forecast - Total revenue projections for the company are as follows: - 2023: 8.94 billion yuan - 2024: 13.34 billion yuan - 2025E: 15.38 billion yuan - 2026E: 16.97 billion yuan - 2027E: 18.27 billion yuan - Year-on-year growth rates for total revenue are projected at 7.2% for 2023, 49.3% for 2024, and 15.3% for 2025E [5][8] - Net profit forecasts are as follows: - 2023: 1.51 billion yuan - 2024: 2.59 billion yuan - 2025E: 3.20 billion yuan - 2026E: 3.53 billion yuan - 2027E: 3.69 billion yuan - The projected return on equity (ROE) is expected to be 22.0% in 2025 [5][8] Market Position and Competitive Analysis - The company is positioned favorably compared to peers, with a projected price-to-earnings (PE) ratio of 20X for 2025, which is 39% lower than the average PE of comparable companies at 27X [6][8] - The communication board revenue is expected to account for a significant portion of the company's growth, driven by AI server and high-speed switch products [6]