Zhejiang Lante Optics Co.Ltd(688127) (688127)
Focus on the optical field for more than 20 years and diversify the product layout.
Zhejiang Lante Optics Co.Ltd(688127) formerly known as Jiaxing Zhejiang Lante Optics Co.Ltd(688127) coating factory founded in 1995, it has focused on the optical element industry for more than 20 years, has outstanding competitive advantages and independent innovation ability in the processing of precision glass optical elements, and has formed many product series such as optical prism, glass aspheric lens and glass wafer, together with AMS group, Corning group, Magna group Shunyu group and other well-known lens and module manufacturers at home and abroad have cooperated for many years. In 2018, 2019 and 2021, the company experienced fluctuations in the demand of major customers and changes in product design schemes, which affected the company's performance. At present, the company is basically stable, ready to go and embrace the optical upgrading trend.
Main highlights of the company: embracing the general trend of optical upgrading
The company's products are widely used in consumer electronics, optical instruments, AR / VR, automobile intelligent driving, 5g optical communication and other fields. In the future, the downstream optical upgrading demand of smart phones, automobile intelligent driving and AR glasses will be the main driving force of the company, and the driving factors for scale growth will be more diversified. ① Highlight 1: periscope lens has become a trend, and micro prism is the core component. Periscope lens is an important scheme for smart phones to achieve high-power optical zoom. At present, the Android camp fully embraces the trend, and apple is also expected to carry the new model in 2024. It is estimated that in 2025, the shipment of periscope lens on mobile terminal will be 360 million, cagr39.5% 7%, the demand for micro prism, the core component of periscope lens, will increase. ② Highlight 2: Glass aspherical lens benefits from the demand for vehicle lens to speed up. Under the trend of intelligence, the carrying capacity of on-board lenses can reach more than 10 per vehicle. Under the background of the improvement of ADAS level and penetration, the demand for on-board lenses is growing rapidly. It is expected that the global on-board camera market will reach US $27.3 billion in 2025. The company's glass aspheric lens has been technologically advanced since its layout in 2014. At present, it has been mass supplied to mainstream customers, which will fully benefit from the acceleration of the development of vehicle lens. ③ Highlight 3: AR optical waveguide becomes the mainstream, and glass wafer is the main substrate. Ar glasses are considered to be the third screen to be worn after mobile phones and watches. They are the blue ocean of the next generation of consumer terminals. At present, optical waveguide is recognized as the necessary optical scheme for consumer wearable ar glasses, and glass wafer is the main substrate of optical waveguide lens. With the increase of AR equipment shipments, the company's contribution to glass wafer business is also expected to increase. At present, it is an indirect supplier of hololens.
Investment advice
As a high-tech enterprise of precision optical components, the company has worked hard for many years and achieved initial results in diversified layout. It will be the core component supplier for optical upgrading in many fields in the future. It is expected that the EPS from 2021 to 2023 will be 0.34 yuan, 0.39 yuan and 0.52 yuan respectively. The latest closing price corresponds to PE of 66.8x, 59.1x and 44.0x. It is covered for the first time and given the rating of "overweight".
Risk statement
Periscope camera penetration is less than expected; The demand for on-board lens is less than expected; The demand for AR equipment is less than expected; Technology R & D lags behind product iteration; The construction of raised investment projects was less than expected.
