Core Viewpoint - Bank of America Securities initiates coverage on Innoscience Technology (02577) with a "Buy" rating and a target price of HKD 108 [1] Company Summary - Innoscience Technology is a leading player in the gallium nitride (GaN) power semiconductor market, holding a 30% global market share by revenue last year [1] - The company is expected to benefit from a partnership with NVIDIA to develop an 800V HVDC architecture, which is projected to enhance revenue potential starting in 2027 [1] Industry Summary - The global GaN power semiconductor market is anticipated to grow at a robust compound annual growth rate (CAGR) of 63% from 2024 to 2028 [1] - Bank of America forecasts a compound annual growth rate of 72% for Innoscience's revenue from 2024 to 2027, with a projected net profit margin of 12.1% by 2027 [1]

Core Viewpoint - Bank of America Securities initiates coverage on Innoscience with a "Buy" rating and a target price of HKD 108, citing strong long-term growth prospects in the GaN power semiconductor market [1] Group 1: Market Growth - The global GaN power semiconductor market is expected to grow at a compound annual growth rate (CAGR) of 63% from 2024 to 2028 [1] - Innoscience's revenue is projected to have a CAGR of 72% from 2024 to 2027 [1] Group 2: Profitability and Innovation - Economies of scale and technological innovation are anticipated to continuously improve profitability [1] - Collaboration with NVIDIA to develop an 800V HVDC architecture is expected to enhance revenue potential starting in 2027 [1] Group 3: Financial Projections - The net profit margin for Innoscience is estimated to reach 12.1% by 2027 [1]