Wuxi Chipown Micro-Electronics Limited(688508) (688508)
Deep ploughing of power chip track, rapid growth of revenue
Wuxi Chipown Micro-Electronics Limited(688508) is a chip design company focusing on power management chips. Its products include AC-DC chips, DC-DC chips, gate drive chips, etc. they are widely used in the fields of household appliances, mobile digital and industrial control, and have successfully introduced Midea, Gree, Hangzhou Hikvision Digital Technology Co.Ltd(002415) , Zte Corporation(000063) , Huawei and other head end customers. Considering the company’s deep accumulation in the field of standard power supply and the continuous replacement of medium and high-end household appliances and industrial power supply, we expect the company’s net profit attributable to the parent company to be RMB 190 / 249 / 339 million from 2021 to 2023, corresponding to EPS of RMB 1.68/2.21/3.01, and the current share price corresponding to PE of 74.8/57.0/41.8 times. For the first time, give a “buy” rating.
The fast charging market is booming, and the company ushers in development opportunities
With the rapid charging of smart phones, consumers’ living habits have been cultivated. In addition to mobile phones, there are still many electronic terminals, such as electric tools, new energy vehicles, household appliances, etc; Moreover, the fast charging chips of electric tools, new energy vehicles and household appliances have higher unit price and higher technical content, which is expected to be the key field for domestic power chip manufacturers to open the gap between technology and revenue. Relying on the excellent performance of “pn8161 + pn8307h” product portfolio, Wuxi Chipown Micro-Electronics Limited(688508) has occupied a place in low wattage fast charging; According to the statistics of charging head network, in the 18W charger scheme, the market share of Wuxi Chipown Micro-Electronics Limited(688508) in 2020 has been close to 10%.
Deeply cultivate high-quality industrial control track and continue to promote high-end transition
As the market share of consumer AC-DC has been gradually occupied by domestic chip manufacturers, the superposition of semiconductor localization is stepping into the deep-water area to overcome difficulties. The development of domestic head AC-DC manufacturers to high-end tracks such as industrial control, communication and automobile is the only way to form higher competitive barriers. Wuxi Chipown Micro-Electronics Limited(688508) has the first mover advantage in the industrial control track. Its products include 800V intelligent protection AC-DC power chip series, 1000 ~ 1200V industrial AC-DC power chip series, which are widely used in medium and high-end fields such as intelligent circuit breakers, communication equipment and servers. It has successfully introduced Zhejiang Chint Electrics Co.Ltd(601877) , Shengfan Co., Ltd., Weiling motor, Zhongshan Broad-Ocean Motor Co.Ltd(002249) , Jingma motor and other industry benchmark enterprises.
Risk warning: there is uncertainty in the R & D Progress of new products; The prosperity of semiconductor industry fluctuates periodically; The expansion speed of downstream customers is uncertain.
