OLYMPIC(SH:603920) Guotou Securities·2025-04-16 04:55Investment Rating - The report maintains a "Buy-A" investment rating for the company with a six-month target price of 31.18 CNY [4][7]. Core Views - The company reported a significant increase in Q1 2025 performance, achieving revenue of 1.217 billion CNY, a year-on-year growth of 11.33%, and a net profit of 180 million CNY, up 65.61% year-on-year [1]. - The company is focusing on the PCB industry while accelerating its development in the emerging AI sector, leveraging its established customer base and optimizing product structure [2]. - Successful implementation of refinancing projects is expected to enhance the company's growth trajectory, with funds directed towards new production projects and technology upgrades [3]. Financial Projections - Revenue projections for 2025 to 2027 are 6.519 billion CNY, 7.887 billion CNY, and 9.544 billion CNY respectively, with net profits expected to be 898 million CNY, 1.097 billion CNY, and 1.34 billion CNY [4][10]. - The company anticipates a net profit margin improvement, with net profit margins projected at 13.8% in 2025, 13.9% in 2026, and 14.0% in 2027 [11]. Market Position - The company has established a strong position in the domestic market by leveraging its experience with overseas clients, particularly in sectors like electric vehicles and AI applications [2]. - The company has successfully entered the supply chain of major clients such as AMD and has achieved mass production for products from clients like Amazon and Samsung [2]. Valuation Metrics - The report estimates a price-to-earnings (PE) ratio of 25 for 2025, indicating a favorable valuation compared to industry peers [4][10]. - The projected earnings per share (EPS) for 2025 is 1.25 CNY, with a decreasing PE ratio forecasted from 36.7 in 2023 to 20.2 in 2025 [10][11].