Huaqin Technology (SH:603296) ZHONGTAI SECURITIES·2026-03-27 10:40Investment Rating - The investment rating for the company is "Buy" (maintained) [2][6] Core Views - The company reported a revenue of 171.4 billion yuan for 2025, representing a year-over-year growth of 56.0%, and a net profit attributable to shareholders of 4.05 billion yuan, with a year-over-year increase of 38.6% [3] - The data center business is expected to benefit from the domestic cabinet and super node production ramp-up, with a projected revenue growth of 30-50% in 2026 [3] - The company has established partnerships with major domestic GPU manufacturers and has achieved batch deliveries of several domestic GPU products in Q1 2026 [3] - The mobile terminal and AIoT businesses are anticipated to continue their upward trajectory, with revenues of 80.2 billion yuan and 7.88 billion yuan respectively in 2025, reflecting year-over-year growth rates of 57.2% and 68.8% [4] - The innovative business segment, including automotive and robotics, is expected to drive rapid growth, with a revenue of 3.48 billion yuan in 2025, marking a year-over-year increase of 121.0% [5] Financial Projections - Projected revenues for the company are as follows: 203.2 billion yuan in 2026, 242.0 billion yuan in 2027, and 280.6 billion yuan in 2028, with respective growth rates of 19% for 2026 and 19% for 2027 [2] - The net profit attributable to shareholders is forecasted to be 5.11 billion yuan in 2026, 6.32 billion yuan in 2027, and 7.78 billion yuan in 2028, with growth rates of 26% and 24% for the following years [2] - The earnings per share (EPS) is expected to reach 5.03 yuan in 2026, 6.23 yuan in 2027, and 7.66 yuan in 2028 [2] Valuation Metrics - The price-to-earnings (P/E) ratio is projected to be 17.2 for 2026, 13.9 for 2027, and 11.3 for 2028 [2] - The price-to-book (P/B) ratio is expected to decline from 2.9 in 2026 to 2.0 in 2028 [2]