Investment Rating - The report maintains a "Buy" rating for the company [2][8]. Core Insights - The company is expected to secure another steering-by-wire (SBW) contract by Q4 2025, indicating a stable operational outlook [2][8]. - The Asia-Pacific region is a strong growth driver, with multiple R-EPS (Rack-EPS) entering mass production in Q3 2025, contributing to an estimated $5 billion in orders for the year [8]. - The company has already received a steering-by-wire contract from a global leader in electric vehicles, supporting L4 autonomous driving and mobility as a service [8]. - An innovative direct-drive steering feel simulator has been launched, enhancing steering feel simulation and supporting compact, lightweight designs [8]. Financial Summary - Revenue projections are as follows: - 2023: $4.207 billion - 2024: $4.276 billion (up 2%) - 2025: $4.600 billion (up 8%) - 2026: $4.893 billion (up 6%) - 2027: $5.330 billion (up 9%) [7][8]. - Net profit is expected to grow significantly from $37 million in 2023 to $250 million by 2027, reflecting a 147% increase in 2025 [7][8]. - The company’s PE ratio is projected to decrease from 63.33 in 2023 to 8.67 by 2027, indicating improved valuation metrics over time [7][8]. Valuation and Target Price - The target price has been raised to HKD 9.45 for 2025, based on a 20x PE ratio [8]. - The report suggests that the company’s EPS forecasts for 2025-2027 are $0.06, $0.08, and $0.10 respectively [8].
耐世特（01316）：线控转向有望再获定点：耐世特(1316)