Investment Rating - The report assigns a "Buy" rating for the company with a target price of HKD 50.00, representing a potential upside of 16.27% from the current price of HKD 43.00 [3][5]. Core Views - The semiconductor industry is experiencing strong demand from consumer electronics and automotive sectors, despite short-term profit expectations being impacted by unforeseen events [3][5]. - The company is positioned as the third-largest wafer foundry globally, with expectations for significant growth driven by advancements in advanced process technologies and domestic semiconductor industry development [5][6]. Financial Summary - For the fiscal year ending December 31, 2023, the company reported total revenue of USD 6.32 billion, a decrease of 13.09% year-on-year, with a projected recovery to USD 8.03 billion in 2024, representing a 27.02% increase [4][6]. - The net profit attributable to shareholders for 2023 was USD 492.75 million, down 50.35% from the previous year, but is expected to rebound to USD 851.73 million in 2025, reflecting a growth of 72.85% [4][6]. - The company’s gross margin for Q1 2025 was reported at 22.5%, with a forecasted decline in revenue for Q2 2025 due to production issues [5][6]. Production and Capacity - The company’s production capacity increased to 974,000 equivalent 8-inch wafers in Q1 2025, with a utilization rate of 89.6%, up 4.1 percentage points from the previous quarter [5]. - The company plans to expand its capacity by an average of 50,000 pieces of 12-inch wafers per month annually, driven by demand from AI, automotive, and IoT products [5][6]. Market Dynamics - The report highlights that the demand for AI-related products is expected to grow by over 10% in 2025, contributing to an increase in wafer shipments despite a slight decline in prices [5]. - The company’s revenue from the U.S. market accounted for 12.6% in Q1 2025, reflecting a 3.7 percentage point increase due to tariff policies driving demand from overseas customers [5].

Group 1 - Semiconductor stocks in Hong Kong, particularly Hua Hong Semiconductor (01347), have shown a rebound after a four-day decline, with a current price increase of 4.18% to HKD 31.15 [1] - Despite the rebound, the stock price remains below the Bollinger Band midline (HKD 34.28) and is testing important support levels on the weekly chart (HKD 31.35) [1] - Technical indicators present mixed signals, with key support levels at HKD 29.4 and HKD 26.4, while resistance levels are at HKD 33.8 and HKD 35.9 [3] Group 2 - The market sentiment is low, with many investors expecting the stock price to drop to the range of HKD 29-20, while a minority believes it could rise to HKD 33 [3] - In the derivatives market, Citigroup's call option (28354) is highlighted as an attractive bullish choice with a strike price of HKD 36.36 and a leverage of 3 times [3] - Other notable call options include Huatai's (16555) with a 3.2 times leverage and a current increase of 9.52%, and JPMorgan's (29035) with a higher strike price of HKD 38.93 and a leverage of 3.47 times [3] Group 3 - Bullish and bearish certificates are available, with JPMorgan's bullish certificate (55757) offering a leverage of 7.3 times and a recovery price of HKD 29, suitable for aggressive investors [6] - Conversely, JPMorgan's bearish certificate (55767) provides a leverage of 5.1 times with a recovery price of HKD 35.5, appealing to investors looking to short while managing risk [6]

每日港股評析 港股早晨快訊 2025 年 5 月 9 日星期五 2012-01- 17 市場回顧 中港股市短期展望 恒指初步阻力參考 23,000 點：美國總統特朗普早前宣布，對部分國家暫 停實施新關稅，為期 90 天，但對中國進口產品徵收的關稅則大幅提高。 據報中央將召開會議，討論促進經濟增長及穩定資本市場的措施，李強亦 表示將根據需要及時推新增量政策，以有力政策應對外部不確定性。市場 預期中央將加大力度穩經濟，第三季將額外發債，以刺激國內需求並減輕 關稅打擊，同時憧憬在人民銀行的支持下，「國家隊」將加大力度入市， 並要求國企加大回購規模，以穩定市場。近日美國或轉軚，特朗普表示將 大減對華關稅，白宮發言人表示，美中就達成潛在貿易協議方面的進展順 利，恒指初步阻力參考 23,000 點。 短期看好板塊 宏觀焦點 ➢ 人行傳放鬆銀行黃金進口購滙限制，或有意緩和人民幣升勢； 中國傳擬全國推商品房現房銷售制度，重建買家信心； 北上廣深下調個人住房公積金貸款利率；4月新能源車零售增37%； 內地發布首批證券公司科創債，擬發行規模逾160億元人民幣； 特朗普據報擬降中國關稅至50%； 歐盟計劃反制1072億美元美國進口 ...