Jeon Jeon Data March 3, HSBC Global Research sent a report stating that GoerTek (02018.HK) profit margin improvement is faster than expected, mainly due to the robust recovery of optical products, raising the gross margin forecast of the group's optical business for 2024-2026 to 9%, 14%, 15%. The bank raised the group's target price by 32%, also raised the target price by 32%, from HK$41.7 to HK$55.1. Maintain a "buy" rating. At the same time, due to the significant progress of the group's WLG (wafer-level glass), HSBC raised the group's WLG shipment volume forecast by 8% annually for 2025-2026. HSBC stated that it is optimistic about GoerTek's acoustic, electromagnetic drive/precision structural components' prospects, considering the trend of specification upgrades, and raised the group's 2024-2026 net income forecast by 13-17% to RMB 1.75 billion to 2.871 billion.
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HSBC: Ricoh Technology's profit margin improvement speed is faster than expected, raising the target price by 32%
Jeon Jeon Data March 3, HSBC Global Research sent a report stating that GoerTek (02018.HK) profit margin improvement is faster than expected, mainly due to the robust recovery of optical products, raising the gross margin forecast of the group's optical business for 2024-2026 to 9%, 14%, 15%. The bank raised the group's target price by 32%, also raised the target price by 32%, from HK$41.7 to HK$55.1. Maintain a "buy" rating. At the same time, due to the significant progress of the group's WLG (wafer-level glass), HSBC raised the group's WLG shipment volume forecast by 8% annually for 2025-2026. HSBC stated that it is optimistic about GoerTek's acoustic, electromagnetic drive/precision structural components' prospects, considering the trend of specification upgrades, and raised the group's 2024-2026 net income forecast by 13-17% to RMB 1.75 billion to 2.871 billion.