Avary Holding(SZ:002938) Orient Securities·2025-05-26 15:38Investment Rating - The investment rating for the company is "Buy" (maintained) with a target price of 33.63 CNY [1][5] Core Views - The company is expected to benefit from the AI industry trends and is actively upgrading its production capacity to meet the growing demand for high-end HDI and SLP products [4][9] - The revenue for 2024 is projected to be 35.14 billion CNY, representing a year-on-year growth of 9.6%, while the net profit attributable to the parent company is expected to reach 3.62 billion CNY, a growth of 10.1% [9] - The company is focusing on expanding its market share in the AI edge PCB market and has seen significant growth in its automotive and server PCB segments [9] Financial Forecasts - The company’s earnings per share (EPS) are forecasted to be 1.77 CNY, 2.15 CNY, and 2.44 CNY for the years 2025, 2026, and 2027 respectively [5][13] - Revenue is expected to grow from 32.07 billion CNY in 2023 to 50.54 billion CNY by 2027, with a compound annual growth rate (CAGR) of approximately 12.9% [7] - The gross margin is projected to improve slightly from 21.3% in 2023 to 22.4% in 2027 [7] Business Segments - The company’s communication PCB business is expected to generate 24.24 billion CNY in revenue in 2024, a growth of 3.08%, while the consumer electronics and computer PCB business is projected to reach 9.75 billion CNY, growing by 22.3% [9] - The automotive and server PCB segments have shown substantial growth, with a revenue increase of 90.34% in 2024, reaching 1.025 billion CNY [9] Capital Expenditure - The company plans to invest 5 billion CNY in capital expenditures in 2025 to support its production capacity upgrades and global expansion [9]