Inventec (2356 TT, NT$48.7) - Relying on AI servers, general servers

Research evidence excerpt

Inventec (2356 TT, NT$48.7) - Relying on AI servers, general servers

ales reached NT$84.8bn (down 3% MoM but up 37% YoY),

accounting for 39% of Fubon’s estimate and 45% of the consensus. Accumulated 4M26

revenue reached NT$285.1bn (up 30% YoY). With stable AI server shipment volume and

Source: CMoney strong demand for general servers, we expect 2Q26 results to slightly exceed 1Q26’s despite

the PC business remaining flat or declining slightly. Also, we expect 2Q26 GM to be similar

What’s changed

to 1Q26’s. For 2H26, the management team expects that both AI server and general

New Old %

business, the L6 and L10 business, will keep growing while the PC business might have a

Rating Neutral Neutral

Target price (NT$) 48.0 45 7 significant decline. However, we are still positive on Inventec’s FY26 business growth. Based

EPS forecast (NT$) 3.21 2.81 14 on our latest channel checks, Inventec is discussing with two large US clients about the AI

Target PE (x) 15 16 server L6 business recently. If Inventec wins this business, it will contribute significantly in

2H26 and FY27. We will monitor this development.

Financial summary Year-end: Dec 31

NT$mn FY25 FY26F FY27F

1Q26 results beat on revenue, EPS

Net sales 691,190 852,861 995,520

YoY growth (%) 7.0 23.4 16.7 Inventec posted 1Q26 revenue of NT$200.3bn (up 17% QoQ and up 28% YoY), GM of 5.1%

Op. profit 12,713 17,227 21,779 (-0.1ppts QoQ and -0.9ppts YoY), OpM of 1.8% (+0.3ppts QoQ but -0.4ppts YoY), and EPS

YoY growth (%) 7.6 35.5 26.4 of NT$0.68 (up 19% QoQ and up 45% YoY). 1Q26 revenue exceeded Fubon’s estimate and

Net profit 8,696 11,493 14,906 the consensus by achieving 117%/121% of the forecasts, respectively. However, GM was still

YoY growth (%) 19.7 32.2 29.7 impacted by rising AI server shipment.