GoerTek(SZ:002241) Guotou Securities·2024-03-27 16:00Investment Rating - The investment rating for the company is maintained at "Buy - A" with a 6-month target price of 18.90 CNY, which corresponds to a dynamic P/E ratio of 30.00x for 2024 [6][9]. Core Insights - The company reported a revenue of 98.574 billion CNY in 2023, a year-on-year decline of 6.03%, and a net profit attributable to shareholders of 1.088 billion CNY, down 37.80% year-on-year [2][3]. - The overall performance in 2023 was under pressure, but the gross margin showed a quarterly improvement, with the gross margin increasing from 6.98% in Q1 to 10.58% in Q4 [3]. - The acquisition of 100% equity in Yuguang Technology in Q4 2023 enhanced the company's capabilities in precision optics, which is expected to support long-term growth in the optical business [4]. - The development of AI large models is anticipated to empower the XR industry, creating more software applications and product usage scenarios for emerging smart hardware products [5]. Financial Performance Summary - In 2023, the company's revenue was 98.574 billion CNY, with a gross margin of 8.95%, down 2.17 percentage points from 2022 [3][10]. - The company expects revenue growth rates of 8.95%, 15.61%, and 14.51% for 2024 to 2026, with net profit growth rates of 97.60%, 54.86%, and 25.51% respectively [9][10]. - The gross margin for the smart hardware business decreased from 11.14% in 2022 to 7.27% in 2023, impacting overall profitability [3][10]. - The company’s total market capitalization is approximately 53.96 billion CNY, with a circulating market capitalization of about 47.53 billion CNY [6].