Bestechnic (Shanghai) (688608) 东方财富·2024-11-20 08:23Investment Rating - The report upgrades the investment rating of the company to "Buy" [2][7][106]. Core Views - The company has rapidly grown into a unicorn in the wireless ultra-low power computing SoC chip sector since its establishment in 2015, particularly excelling in the smart wearable market. Despite a decline in performance during 2022-2023, the company is experiencing a recovery in 2024, with improvements in gross and net profit margins, a decrease in expense ratios, and continued investment in R&D [1][6][43]. - The Bluetooth headset SoC market share is leading, with demand driven by brand clients. The TWS headset market is recovering, and the company is expected to increase its market share further with the launch of new products [1][6][62]. - The smart watch segment is expected to open a second growth curve for the company, with significant potential for market share increase due to strong performance from key clients like Huawei and Xiaomi [1][6][80]. - The company is expanding its capabilities in the AIoT field, with notable performance in the smart home chip sector and successful entry into the Wi-Fi market with low-power Wi-Fi 6 chips [1][6][95]. Summary by Sections Company Overview - The company focuses on ultra-low power technology, smart audio-video interaction technology, and wireless communication connection technology, aiming to become a global leader in innovative chip design [23][32]. Bluetooth Headset Chips - The TWS headset market is recovering, with the company positioned to increase its market share as brand clients gain more traction. The introduction of the BES2800 series chip is expected to enhance product offerings [1][6][52][71]. Smart Watch Chips - The global wearable wrist device market is stabilizing, with the company’s smart watch SoC market share expected to grow significantly, driven by the performance of major clients [1][6][80][84]. Other Chips - The smart home market is growing, with AI technology expected to drive new growth in smart speakers. The company has successfully developed low-power Wi-Fi 6 chips, enhancing its product offerings in the smart home sector [1][6][95][99]. Financial Forecast - The company’s revenue is projected to grow significantly from 2024 to 2026, with expected revenues of 33.24 billion, 42.31 billion, and 51.74 billion yuan respectively. The net profit is forecasted to be 4.08 billion, 6.08 billion, and 8.54 billion yuan for the same period [6][104][106].