Xingyu Co.,Ltd(SH:601799) HTSC·2026-01-20 08:32Investment Rating - The investment rating for the company is maintained as "Buy" with a target price of RMB 222.42 [1][5]. Core Viewpoints - The company is advancing its Micro-LED industry layout through a strategic partnership with ChipLink Integration and Jiufengshan Laboratory, establishing Wuhan Xingxi Light Technology Co., Ltd. with an investment of RMB 3 billion to develop Micro-LED technology for automotive lighting and other applications [1][2]. - The collaboration aims to create a complete industrial chain from basic research to engineering mass production, accelerating the commercialization of Micro-LED technology and reducing costs [1][3]. - The Micro-LED market is projected to reach USD 15.7 billion by 2030, with significant demand expected in automotive displays, AR/VR, and specialty lighting [3]. - The company is positioned to leverage its strengths in high-value products and expand into new business areas, including intelligent robotics and global markets [4]. Summary by Sections Strategic Cooperation - The company has signed a strategic cooperation agreement to enhance its Micro-LED strategy, integrating automotive applications, chip manufacturing, and semiconductor research [2]. Market Potential - Micro-LED technology is recognized for its high brightness, fast response, long lifespan, and pixel-level control, making it a key direction for future displays and light sources [3]. Growth Opportunities - The company is expanding its customer base with new energy vehicle manufacturers and has secured international projects with major automotive brands [4]. - New business ventures, such as intelligent robotics, are being explored to diversify growth avenues [4]. Financial Forecast - Revenue projections for 2025-2027 are RMB 166 billion, RMB 204 billion, and RMB 257 billion, respectively, with net profits expected to be RMB 18.09 billion, RMB 22.68 billion, and RMB 28.52 billion [5][9].