GIGABYTE (2376 TT, NT$326.50) - Key beneficiary of Neoclouds

Research evidence excerpt

GIGABYTE (2376 TT, NT$326.50) - Key beneficiary of Neoclouds

oud players recently raised their FY26 capex guidance, with CoreWeave

Target price (NT$) 410 290 41 increasing to US$31~35bn (from US$30~35bn) and Nebius to US$20~25bn (from

EPS forecast (NT$) 31.31 22.79 37 US$16~20bn). Meanwhile, hyperscalers such as Microsoft and Meta have signed multi-year

Target PE (x) 13 13

agreements with Neoclouds, reflecting the expanding AI demand. We believe that Gigabyte

Financial summary Year-end: Dec 31 is one of the key beneficiaries of this trend as 80% of its AI revenue comes from

NT$mn FY25 FY26F FY27F Neocloud/CSP customers. Gigabyte indicated that its US plant will begin product delivery

Net sales 336,937 541,932 671,305

by late 2Q26, and its new Tucheng facility is scheduled for completion in 3Q26. TotalYoY growth (%) 27.1 60.8 23.9

Op. profit 16,772 28,763 31,068 capacity will double this year. We expect AI sales to double in FY26, which will account for

YoY growth (%) 31.3 71.5 8.0 nearly 70% of the total revenue.

Net profit 12,190 20,980 22,838

YoY growth (%) 24.5 72.1 8.9

EPS (NT$) 18.20 31.31 34.09 How are we different?

DPS (NT$) 12.0 21.9 23.9 Our FY26/FY27 EPS forecasts are NT$31.31 and NT$34.09, compared to the consensus of

PE (x) 17.9 10.4 9.6

PB (x) 3.7 3.1 2.7 NT$22.61 and NT$25.96, respectively.

Div. yield (%) 3.7 6.7 7.3

ROE (%) 21.6 31.1 29.4 Valuation, risks

Source: CMoney, Fubon Research

We maintain our Buy rating, and our new target price of NT$410 is based on 13x FY26F EPS

Titan Chung Tim Chien

of NT$31.31. The PE range is 8~25x in the past five years. Key risks include 1) weak demand

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