比亚迪电子：NDR takeaways: Apple, NEV products and AI server are key growth drivers in 2025

Investment Rating - The report maintains a "BUY" rating for BYDE, with a target price of HK$44.41, implying a 29.3$34.35 [5][10][11]. Core Insights - Key growth drivers identified for BYDE include Apple products, New Energy Vehicles (NEV), and AI server components, which are expected to contribute positively to revenue in 2025 [3][10]. - The management has a positive outlook for all segments in Q4 2024 and 2025, highlighting growth in iPad market share, high-end Android demand, and the ramp-up of AI server products [3][10]. - The automotive segment is projected to generate revenue of RMB30 billion in FY25E, driven by high-end Advanced Driver Assistance Systems (ADAS) and suspension products [3][10]. - AI server sales are expected to reach RMB1 billion in FY24E and RMB3-5 billion in FY25E, with a gross profit margin similar to industry peers at around 10% [3][10]. Revenue and Profit Forecasts - Revenue is forecasted to grow from RMB129,957 million in FY24E to RMB196,265 million in FY25E, representing a year-on-year growth of 32.3% [4][8]. - Net profit is expected to increase from RMB4,428 million in FY24E to RMB6,070 million in FY25E, with a growth rate of 37.1% [4][8]. - The report indicates a consistent increase in earnings per share (EPS), projected to rise from RMB2.67 in FY24E to RMB3.36 in FY25E [4][8]. Valuation Metrics - The stock is currently trading at a P/E ratio of 11.9x for FY25E, which is considered attractive compared to the target P/E of 15.0x [3][10][11]. - The report employs a Sum-of-the-Parts (SOTP) valuation approach, assigning a P/E of 15x to various business segments, reflecting their growth potential and earnings visibility [10][11][12]. Segment Performance - The assembly segment is expected to contribute 16% to FY25E profit, while the automotive intelligent segment is projected to account for 29% [12]. - The component business, including Jabil components, is also expected to contribute significantly, with each segment assigned a target P/E of 15x [11][12].