Excerpts from Maybank KE report
Analyst: Gene Lih Lai, CFA
|
9M19 ahead; setting up for FY20E growth; BUY |
Reiterate BUY with higher ROE-g/COE-g TP of SGD2.12 (4.1x blended FY19-20E P/B, prev: 3.2x), as we raise FY19-21E EPS by 13-71%, factoring in:
ii) stronger-than-expected HDMT momentum; and iii) inclusion of contributions from hybrid project and cable testers for Huawei in FY20-21E. |
||||
9M19 PATMI already reached 95%/93% of our/consensus’ FY19E estimates.
Despite high-base effects, FY20E dynamics appear favourable for further growth.
Strong FY20E guidance would be a catalyst, while weak demand for key customer’s chips would be a key risk.
Full report here.
| Excerpts from KGI report Analyst: Tan Jiunn Chyuan (Kenny)
• We researched key customer wallet share amongst test equipment peers to better understand AEM’s revenue sustainability with the key customer • We amend our revenue forecast to include the potential sales of AEM’s next generation of test handlers. Our new PATMI forecast is S$44.6/41.2/45.3 mn for 2019/2020/2021F • Maintain OUTPERFORM. We increase our 12M Target Price to S$1.80, from S$1.34. We look forward to 6 November for management’s presentation for potential insights Full report here. |
||||
