ASMPT Ltd (0522): ASMPT: Strong operating leverage, TCB continues to grow, and Photonics becoming a new driver; Stay OW

Research evidence excerpt

ASMPT Ltd (0522): ASMPT: Strong operating leverage, TCB continues to grow, and Photonics becoming a new driver; Stay OW

Gokul Hariharan AC Asia Pacific Equity Research

(852) 2800-8564 30 July 2026 J P M O R G A N

gokul.hariharan@jpmorgan.com

Price Performance Summary Investment Thesis and Valuation

Investment Thesis

We are OW on ASMPT, given we expect continued growth in

Advanced Packaging and a strong recovery in mainstream

SEMI and SMT solutions, driven by AI server boards and

PMICs. Looking ahead, we expect memory TCB revenue to

accelerate as HBM4 orders from a major Korean customer

commence shipping and potential stacking relaxation from

JEDEC likely extend the TCB life cycle. We believe C2S logic

TCB revenue from OSAT customers to accelerate meaningfully

with Intel’s EMIB-T likely to be a key driver for C2S demand,

YTD 1m 3m 12m given embedded die placement within substrates will require a

Abs 76.8% -36.9% -16.8% 97.4% high intensity of fine-pitch TCB tools. Moreover, we see bigger

Rel 76.1% -49.0% -15.6% 96.3%

breakthroughs for C2W as SoIC adoption picks up in 2H27.

Company Data Photonics is also likely to grow substantially, led by pluggable

Shares O/S (mn) 411 optical transceiver growth, while ASMPT is well positioned for

52-week range (HK$) 244.40-64.65 CPO to capture more value in the TAM expansion as the

Market cap ($ mn) 7,172

Exchange rate 7.84 adoption ramps up in the long term. With strong operating

Free float (%) 75.2% leverage coming through due to disciplined cost control, we see

3M ADV (mn) 4.51 strong earnings growth ahead for ASMPT.

3M ADV ($ mn) 107.2

Volatility (90 Day) 83 Valuation

Index HSI

BBG ANR (Buy | Hold | Sell) 18|3|0 Our Jun-27 PT of HK$225 is based on ~28x 12M forward EPS,

two notches lower than the previous target multiple, while we