Yutong Optics: #Focus on Trading Opportunities of Oversold Optical Leaders, #Current Market Cap ~RMB 9B with Doubling Space 0727

English summary

Respecting the market's phased adjustment, we also remind leaders to note #oversold opportunities in quality targets, #with head optical companies trading at only 15-20x 2027 P/E. For Yutong, the security main business is expected to stabilize; in the medium term, 'optics' remains the best prosperity direction under the AI super cycle, and the company's #lens and V-groove progress is positive across multiple dimensions. Edge-side sentiment is expected to continue repairing in H2, with rich options in AI glasses, smart imaging, drones, etc. Furthermore, all overseas businesses are growing rapidly. —#Security: Terminal demand has shown recovery in 2026 (Hikvision beat expectations); near-term pressure from upstream cost increases, with earnings expected to repair after H2 renegotiation. —#Optical communication: Progressing smoothly. #In the market adjustment phase (wait for the wind!), but the company, as a newcomer, is making positive progress. 1) C-LENS: #Orders reached 40 million units this year with rapid ramping (unit price RMB 2.5-3.5); #expected to contribute RMB 500 million+ revenue in 2027, entering domestic leading optical module makers' supply chains. ...