This report is read as follows:
In the short term, the downstream demand is insufficient, and the first quarter performance is under pressure; in the long run, the performance is expected to maintain high growth due to the outbreak of demand in mobile phones, AIOT, automobiles and other CIS areas.
Main points of investment:
Maintain the "overweight" rating and lower the target price by 52.50 yuan. The company is a leading enterprise in low-pixel cis chip packaging, profoundly benefiting from the explosion in fields such as AIOT+ automobile CIS. Adjust its EPS to 1.75,2.24,2.66 yuan in 2022-2024 (the original forecast is 1.79,2.17 yuan in 2022-2023). Considering the high growth of the company's automobile business, give it 30 times PE in 2022, lower the target price by 52.50 yuan, and maintain the "over-holding" rating.
Downstream consumer demand is insufficient, the first quarter results under short-term pressure. In 22 years, Q1 revenue was 305 million yuan, YOY-7.22%; net profit was 92 million yuan, YOY-27.96%; gross profit was 51.39%, down 0.29pcts from the same period last year; net profit was 30.61%, down 8.18pcts from the same period last year. The company's performance in the first quarter is under short-term pressure, which has declined, mainly due to the temporary shortage of downstream demand.
Low-pixel CIS chip packaging faucet, aiming at large-size and high-pixel products, continues to open the growth space. The company continues to optimize and improve the 8-inch and 12-inch wafer-level TSV packaging process, strengthen the expansion of medium-and high-pixel product areas, and actively layout new application areas, including mobile phone multi-shooting, AIOT, car gauge-level applications, etc., in order to further expand the market scale and continue to open up the growth space.
Benefiting from the rapid development of CIS fields such as mobile phone photography, AIOT and automobile, the company's performance is expected to accelerate the outbreak. According to Frost&Sullivan, global CIS sales are expected to reach $33 billion in 25 years and 11.9% in 21-25 CAGR. Among them, the sales in the field of security monitoring are US $2.01 billion, the CAGR for 21-25 is 18.23%, and the sales in the field of automotive electronics are US $5.33 billion, and the CAGR for 21-25 is 21.42%.
Risk hint. New entrants to the industry; electric vehicle penetration is not as expected; emerging technology substitution risk.