Quectel(SH:603236) Shanxi Securities·2025-05-26 05:55Investment Rating - The report maintains an "Accumulate-A" rating for the company [1] Core Views - The company has demonstrated strong growth in revenue and net profit, with a revenue of 185.94 billion yuan in 2024, up 34.14% year-on-year, and a net profit of 5.88 billion yuan, up 548.49% year-on-year [4] - In Q1 2025, the company achieved a revenue of 52.21 billion yuan, reflecting a year-on-year increase of 32.05%, and a net profit of 2.12 billion yuan, up 286.91% year-on-year [4] - The company continues to lead in the module shipment market and has a broad layout in AI modules and solutions [4] Summary by Sections Market Performance - As of May 5, 2025, the closing price is 71.75 yuan, with a total share capital of 2.62 billion shares and a circulating market value of 187.74 billion yuan [3] Business Development - The company is expanding its product line in the 5G module sector and maintaining a leading position in automotive applications, with a diverse range of products for over 60 tier-1 clients and 40 automotive manufacturers [6] - The company has launched the Provecta AI brand for industrial intelligence, focusing on defect detection and automation in various sectors [7] - The ODM business has seen significant growth, with revenue from the ODM segment expected to increase by over 70% year-on-year in 2024 [8] Financial Forecast and Investment Recommendations - The company is expected to maintain growth above the industry average, with projected net profits of 8.52 billion yuan, 10.27 billion yuan, and 12.75 billion yuan for 2025, 2026, and 2027 respectively, representing year-on-year growth rates of 44.9%, 20.5%, and 24.1% [10] - The earnings per share (EPS) are forecasted to be 3.26 yuan, 3.93 yuan, and 4.87 yuan for the same years, with corresponding price-to-earnings (P/E) ratios of 22.0, 18.3, and 14.7 [10]