2025-11-16 15:36Summary of Greater China Technology Hardware Conference Call Industry Overview - The conference focused on the Greater China Technology Hardware sector, particularly in AI technology and hardware advancements [7][8]. Key Insights - Opportunities in AI GPU and ASIC Servers: There are significant opportunities in upgrading AI GPU and ASIC server designs, with major projects like GB300, Vera Rubin platform, and Kyber architecture showing promise [7][8]. - AMD Helios Server Rack: The AMD Helios server rack project is gaining traction, indicating a positive trend in server hardware demand [7]. - Enhanced Computing Power: AI ASIC servers are expected to enhance computing power and increase rack density, which is crucial for data centers [7]. - Power Solution Upgrades: Transitioning to 800V HVDC power architecture and the growing adoption of liquid cooling solutions are highlighted as key upgrades [7]. - PCB/Substrate Capacity Expansion: There is a wave of capacity expansion in PCB/substrate to support ongoing design upgrades, which is essential for meeting increased demand [7]. - Data Network Improvements: Upgrades in data and power interconnects are anticipated to improve data network transmission speed and capacity [7]. - Consumer Electronics Demand: The demand for consumer electronics is being impacted by rising memory costs, with Android smartphones being more vulnerable compared to iPhones [7]. - Upcoming Foldable iPhone Models: Anticipation for the release of foldable iPhone models in the second half of 2026 is noted as a potential market driver [7]. Stock Recommendations - Key Stock Ideas: - AI Server Hardware: Wistron, Hon Hai/FII, Wiwynn, Delta Electronics, AVC, BizLink, King Slide, Accton, Chenbro, Gold Circuits, Innolight, FIT, and Fositek [7]. - Edge AI: Xiaomi, Lenovo, Luxshare [7]. Valuation Comparison - A detailed valuation comparison of various companies within the Greater China Technology Hardware sector was provided, including metrics such as price, target price, EPS, P/E ratio, P/B ratio, and ROE [8]. - Notable companies included: - Lite-On Tech: Current price at 162.50, target price at 150.00, with a P/E ratio of 23.3 for 2025 [8]. - Delta Electronics: Current price at 922.00, target price at 1288.0, with a P/E ratio of 38.9 for 2025 [8]. - Hon Hai: Current price at 241.00, target price at 317.0, with a P/E ratio of 16.4 for 2025 [8]. - Foxconn Tech: Current price at 66.80, target price at 54.00, with a P/E ratio of 26.0 for 2025 [8]. Additional Considerations - The report emphasizes the importance of considering Morgan Stanley Research as one of several factors in investment decision-making, acknowledging potential conflicts of interest [4][5].