[Jingtajiabl Wei_ is ARYG in the SU country] P U leader, focusing on the development of underlying technology, expanding application scenarios from the field of graphics rendering to some computing fields. Since its establishment, Jingjiawei has been deeply involved in the field of GPU research and development. After more than ten years of technology accumulation, the company has become a leading domestic GPU design enterprise with outstanding technical advantages, leading full life cycle management level, and large-scale application scenarios. In the field of GPU R&D, the company focuses on underlying technology development, and fully implements independent research and development in architecture design, algorithm models, principle verification, hardware implementation, and driver development. At present, the company has successfully developed a series of domestic GPUs with independent intellectual property rights, represented by the JM5 series, JM7 series, and JM9 series. The application scenarios have been expanded from the field of graphics rendering to some fields of computing, making every effort to promote the development strategy from “dedicated” to “specialized+universal”.
A fixed increase plan was announced to raise 3,974 billion yuan for research and development of high-performance general-purpose GPU chips.
In June 2023, the company announced a fixed increase plan to raise no more than 3,974 billion yuan in total capital for distribution to specific targets. It plans to raise 3,029 billion yuan for high-performance general-purpose GPU chip R&D and industrialization projects and 945 million yuan for general-purpose GPU advanced architecture R&D center construction projects, aiming at the application direction of GPUs in the field of artificial intelligence, building a domestic GPU application ecosystem, and gradually narrowing the development gap with leading foreign companies.
Optimistic about the company's card space and scarcity in the domestic GPU field, it is expected to accelerate the iteration of domestic computing power chip products and fully benefit from the big wave of AI. Recently, overseas AI has made significant progress in both investment and application fields. OpenAI Sora was released, which can generate high quality videos of up to 1 minute; Google Gemini 1.5 was released, which can support up to 10 million tokens and ultra-long contexts; Sam Altman is raising funds to support the ambition of “self-made AI chips”; Nvidia released Chat With RTX, a large model for local deployment, etc. We are optimistic about Jingjiawei's card space and scarcity in the domestic GPU field. Under the AI wave, the government, central state-owned enterprises, and special industries are expected to have strong demand for large-scale model training and reasoning. The company will raise 4 billion dollars in capital, which is expected to accelerate the iteration of domestic computing power chip products and fully benefit from the AI wave.
Profit forecast: It is predicted that in 2023-2025, the company will achieve net profit of 58 million yuan, 400 million yuan, and 625 million yuan. The corresponding EPS (latest dilution) is 0.13, 0.87, and 1.37 yuan/share, respectively, giving it a “buy” rating.
Risk warning: Xinchuang's bidding was delayed; competition intensified; major power games; profit forecasts fell short of expectations.