Sunlord Electronics (002138): High-end inductors move towards international advanced and wait for 5G to bear fruit
Event: The company released its 2018 annual report and achieved operating income23.62 ppm, an increase of 18 years.84%; Net profit attributable to shareholders of listed companies.79 ppm, an increase of 40 in ten years.23%; net profit attributable to shareholders of the listed company after deduction.72 ppm, an increase of 51 in ten years.08%. There is a major breakthrough in RF inductance, waiting for the release of 5G terminal demand.The annual report reveals that the company’s key investment in the development of ultra-miniature RF inductors has been approved by international heavyweight customers.Product performance is in the leading position in the industry, and it will occupy an important position in the market area of portable terminals and module products. Winding small ultra-thin RF inductors have completed sample trial production, and their performance can reach the international benchmark level. It is expected to be preliminary in 2019 and 2020.Target market.With reference to data from Mouser Electronics, the unit price of conventional 01005 inductors is about 3 times that of 0201 inductors, and the unit price of high Q 01005 inductors is about 6 times that of 0201 inductors. We expect that 5G full Netcom SA mobile phones will add 60 01005 high-Q inductors for RF front-ends.The increase is about 20 yuan.With the large-scale implantation of 5G mobile phones in the future, the company’s ultra-micro RF inductor business has considerable flexibility. The automotive electronics business has introduced 杭州桑拿 European and American automotive customers, and 5G filters have obtained major customer certification codes. The annual report revealed that the company’s product platforms such as power inductors, transformers, on-board common-mode initial current transformers, and wireless charging coils have been gradually transformed in 2018, and have been imported to important car customers in Europe and the United States to achieve batch delivery.Automotive inductors must pass the (AEC) Q100 certification. With reference to the data from the trade Zetai platform, the unit price of an inductor that meets the (AEC) Q100 standard is 3 times the price of an ordinary inductor under the same specifications. Vehicle-grade components have sufficient price flexibility.In terms of communication base station business, the company has completed the 北京桑拿洗浴保健 development of prototype samples of dielectric filters, switches, LTCC filters and other products for 5G communication equipment, and some products have obtained certification codes from key large customers.The promotion of global 5G base station construction will directly drive the company’s performance growth. Investment suggestion: It is expected that the company’s net profit attributable to shareholders of listed companies in 2019-2021 will be 6, respectively.2.4 billion, 8.4.5 billion, 10.8.6 billion, with annual growth rates of 30.4%, 35.4%, 28.5%.Maintain BUY-A investment rating with 6-month target price of 23.1 yuan, equivalent to 30 times PE in 2019. Risk warning: 5G commercial speed is faster than expected, and international customer products are less than expected.