Hon Hai (2317 TT, NT$252.00) - Google and nVidia double blessing

研报英文原文证据摘录

Hon Hai (2317 TT, NT$252.00) - Google and nVidia double blessing

onger than its predecessor

(iPhone 16). In Apple’s FY2Q26 financial report, the company reported revenue and profit

that both exceeded street expectations due to iPhone 17’s strong performance as well as

cost control. Hon Hai manufactures 70~73% of iPhones, and thus strong iPhone sales will

Source: CMoney significantly benefit Hon Hai’s revenue and profit. Fubon’s latest estimate of smartphone

What’s changed shipment is 1,086mn (down 14% YoY) in 2026, but we anticipate that iPhone shipment will

still grow and reach 246mn (up 1% YoY). New Old %

Rating Buy Buy

Target price (NT$) 330 305 8 1Q26 sales of NT$2,129bn, in-line with consensus, higher than Fubon’s estimate

EPS forecast (NT$) 21.99* 18.5 0 Hon Hai reported 1Q26 sales of NT$2,129bn (down 18% QoQ, up 30% YoY), higher than the

Target PE (x) 15 16.5 consensus of NT$2,103bn and Fubon’s estimate of NT$2,059bn. 1Q26 revenue marked a

*2027F EPS record high for the same period in previous years. We attribute it to AI server shipment

Financial summary Year-end: Dec 31

which increased to 6k racks given MSFT and Meta’s very strong demand. More surprisingly,

NT$mn FY25 FY26F FY27F

Net sales 8,103,105 10,034,239 11,730,963 iPhone shipment was better than expected and came to 61mn in 1Q26. Overall, we forecast

YoY growth (%) 18.1 23.8 16.9 1Q26 GM of 5.97% (vs. consensus of 5.97%), OpM of 2.8% (vs. consensus of 3.11%), and

Op. profit 259,223 313,017 372,607 EPS of NT$3.72 (vs. consensus of NT$3.48). We will monitor whether Hon Hai’s 2Q26

YoY growth (%) 29.2 20.8 19.0 revenue guidance exceeds 1Q26's NT$2.13tn, as exceeding it indicates continued

Net profit 189,354 255,777 305,501

acceleration in demand for AI server assembly.YoY growth (%) 24.0 35.1 19.4