Core ideas:
Focus on the advanced packaging field, the performance continues to improve. Since its establishment, Yongsi Electronics has mainly focused on the advanced packaging field in the IC closed test business, persisted in market-oriented, technology-supported, and continuously improved its R & D strength. to provide customers with optimal semiconductor packaging and testing technology solutions. Thanks to the continuous strengthening of the company's market expansion and the rapid expansion of production capacity, the company's revenue is growing rapidly.
The semiconductor industry chain opens the packaging market, and the prospect of advanced packaging is promising. The technological breakthrough of the "post-Moore era" process is more difficult, and the improvement speed of the process is slowed down due to the substantial increase in costs and technical barriers. The integrated circuit process is difficult to break through in a short period of time, and it has become the development trend of the integrated circuit industry to improve the overall performance of the chip through advanced packaging technology. According to Yole forecast data, advanced packaging accounted for about 42.60% of the global packaging market in 2019, and has continued to grow since then, accounting for nearly 50% of the entire packaging market by 2025. China's IC closed test industry has a strong competitiveness in the international market, and the market space of domestic closed test industry is expected to be further expanded.
A wide variety of middle and high-end products, rapidly expand downstream customers. With stable sealing yield and flexible packaging design, the company has been widely recognized by integrated circuit design enterprises, and has established good cooperative relations with many well-known design companies at home and abroad. such as Hengxuan Technology, Jingchen shares, Fuhanwei, MediaTek, Beijing Junzheng and other high-quality customers. At the same time, the company continues to expand downstream application fields, and packaging and testing service products include various application SoC chips, power management chips, WiFi/ Bluetooth and other Internet of things chips, various IC chips, mobile phone RF front-end chips, etc., covering areas where the demand for integrated circuit chips is growing rapidly in recent years.
Profit forecast and investment advice. It is estimated that the EPS of the company in 23-24 is 1.54 yuan per share, respectively. Considering the business layout of the company and referring to the valuation level of the comparable company, the company is valued at 25-30 times PE in 2023, and the corresponding reasonable value range is 23.30-27.96 yuan per share.
Risk hint. Industry demand downside risk; R & D progress risk; market competition risk.