Core Viewpoint - Guotai Junan Securities initiates coverage on Gao Wei Electronics (01415) with a "Buy" rating, projecting net profit attributable to shareholders to reach $191 million, $225 million, and $336 million for 2025-2027, corresponding to PE ratios of 19x, 17x, and 11x respectively [1] Group 1 - The company is deeply tied to Apple, with 98.1% of its revenue in the first half of 2025 coming from Apple, benefiting from customer stickiness due to significant synergies from the Luxshare Precision Industry supply chain and ongoing capital expenditures to meet Apple's supply chain demands [1] - Strong demand for iPhones is noted, with approximately 4 million units activated in China as of October 12, and expected steady growth in iPhone and iPad shipments, providing a solid demand foundation for the company [1] - The annual iteration and upgrade of iPhone camera modules represent a clear value growth trajectory, with the value of the camera module for the iPhone Pro Max increasing by about $37 from the 13 series to the 16 series, and the latest 17 Pro Max long-focus lens significantly upgraded from 12 million pixels to 48 million pixels, indicating a trend of increasing unit value that will enhance company revenue [1] Group 2 - Following the gradual exit of major competitor Sharp from the rear camera module supply chain, the supply chain landscape is being reshaped, with Apple seeking to balance its supply chain and reduce costs [2] - The company is expected to gain more market share in ultra-wide-angle and periscope long-focus modules due to its proactive capacity expansion, with potential entry into the higher-value main camera segment by 2027, opening new growth opportunities [2]