Actions(SH:688049) Huachuang Securities·2025-10-29 12:45Investment Rating - The report maintains a "Strong Buy" rating for the company, indicating an expectation to outperform the benchmark index by over 20% in the next six months [1][23]. Core Insights - The company has achieved record quarterly performance, with Q3 2025 revenue reaching 273 million yuan, a year-over-year increase of 46.64% and a quarter-over-quarter increase of 6.16%. The net profit attributable to shareholders was 60 million yuan, reflecting a year-over-year growth of 101.09% and a quarter-over-quarter growth of 20.72% [1][8]. - The company is experiencing robust growth in market share and product offerings, particularly in the AI-enabled edge computing sector, which is driving significant revenue increases [8]. - The report highlights the successful penetration of the Bluetooth speaker SoC market, with increasing collaboration with leading audio brands and a strong demand for low-latency wireless audio products [8]. Financial Summary - Total revenue projections for the company are as follows: 652 million yuan in 2024, 986 million yuan in 2025, 1,324 million yuan in 2026, and 1,745 million yuan in 2027, with respective growth rates of 25.3%, 51.3%, 34.3%, and 31.8% [3]. - Net profit attributable to shareholders is forecasted to be 107 million yuan in 2024, 212 million yuan in 2025, 295 million yuan in 2026, and 397 million yuan in 2027, with growth rates of 63.8%, 98.8%, 39.2%, and 34.7% respectively [3]. - The report projects earnings per share (EPS) to increase from 0.61 yuan in 2024 to 2.27 yuan in 2027, with a corresponding decrease in price-to-earnings (P/E) ratio from 97 to 26 over the same period [3]. Market Position and Strategy - The company is strategically positioned in the AI edge computing market, focusing on low-power, high-performance chip development to meet the growing demand for advanced audio products [8]. - The report emphasizes the company's commitment to innovation, particularly in developing proprietary protocols to enhance wireless transmission capabilities and reduce latency [8]. - The target price for the company's stock is set at 87.58 yuan, based on a projected P/E ratio of 52x for 2026, reflecting confidence in the company's growth trajectory [3][8].