WLCSP(SH:603005) Guotou Securities·2025-07-15 02:41Investment Rating - The report maintains a "Buy-A" investment rating for the company, with a target price of 33.54 CNY per share, based on a PE valuation of 55 times for 2025 [4][6]. Core Views - The company is positioned as a leader in advanced packaging for CIS technology, showing strong growth in Q2 2025 with a projected net profit increase of 39.14% to 80.24% year-on-year [1]. - The automotive sector is driving demand for automotive-grade CIS chips, with the market expected to grow from 2.3 billion USD in 2024 to 3.2 billion USD by 2029, benefiting the company's CIS business [2]. - The smartphone market is showing signs of recovery, with a projected 1.4% year-on-year increase in shipments in the first half of 2025, providing growth opportunities for the company [3]. Financial Projections - Revenue projections for the company are 1.54 billion CNY in 2025, 2.03 billion CNY in 2026, and 2.57 billion CNY in 2027, with corresponding net profits of 398 million CNY, 518 million CNY, and 662 million CNY respectively [4][11]. - The company is expected to achieve a net profit margin of 25.9% in 2025, increasing slightly to 25.7% by 2027 [13]. - The company's earnings per share (EPS) is projected to be 0.61 CNY in 2025, rising to 1.01 CNY by 2027 [11].