TRANSSION(688036) Soochow Securities·2024-02-25 16:00Investment Rating - The report maintains a "Buy" rating for the company [1] Core Views - The company's performance in 2023 exceeded expectations, achieving a record high in revenue and profit, with total revenue of 623.9 billion yuan, a year-on-year increase of 33.9%, and a net profit of 55 billion yuan, up 121.6% year-on-year [2][3] - The growth in performance is attributed to the expansion into emerging markets, product structure upgrades, and improved operational efficiency [3] - The company is actively enhancing its global presence in emerging markets and advancing product upgrades, including the launch of high-end products like the TECNO PHANTOM V Fold and TECNO PHANTOM V Flip 5G [3] - Continuous advancements in AI technology and multi-modal voice recognition are expected to further enhance the company's growth potential and profitability [3] Financial Forecasts and Valuation - The company forecasts revenues of 62.39 billion yuan for 2023, 75.00 billion yuan for 2024, and 86.79 billion yuan for 2025, with corresponding net profits of 5.50 billion yuan, 6.35 billion yuan, and 7.36 billion yuan respectively [2][3] - The projected P/E ratios for 2023, 2024, and 2025 are 22.54, 19.54, and 16.85 respectively, indicating a favorable valuation outlook [2][3]