Silergy Corporation "Stronger server/auto execution and expansion" (Buy) Lin

研报英文原文证据摘录

Silergy Corporation "Stronger server/auto execution and expansion" (Buy) Lin

the Q1 low season, and Silergy

From To % ch Cons.

could outgrow China’s auto market, given a focus on EV/HEV, with an expanding 12/26E 11.90 10.20 -14 9.89

product portfolio and customer base in a global auto ecosystem. Management expects 12/27E 18.34 19.07 4 16.01

Silergy to lift silicon content per car from US$120 in 2025 to US$250+ in 2026. 12/28E 26.28 28.24 7 20.63

Temporary GM setback in Q1 but it could recover from H226 Sunny Lin

Analyst

Silergy’s Q1 GM fell to 48.2%, below the consensus estimate of 51.3%, mostly due to a sunny.lin@ubs.com

-1.6% impact from inventory impairment, as Silergy had been pre-building inventory +886-2-8722 7346

since mid-2025, anticipating tightening foundry and back-end supply. We believe GM

Ryan Suncould recover from H226, considering: 1) Faster Gen 4 ramp-up for new products. Gen 4

Associate Analyst

could reach 20% of sales by end-2026. Gen 4 may drive 5% or more GM improvement ryan-za.sun@ubs.com

than Gen 3 due to an enhanced cost structure. 2) A more favourable product mix, with +886-2-8722 7267

servers and auto outgrowing PCs. 3) Silergy may raise prices from Q326 to pass through

increasing foundry and back-end cost. We believe Silergy is well positioned to manage

higher supply chain cost, especially as it is ramping up its own 12” foundry partner in

Hanzhou, with which Silergy could get more favourable pricing support. We forecast

GM to improve to 49.4% in H226 and 52.9% in 2027.

Valuation: Raise price target from NT$400 to NT$700; maintain Buy

Post-results, we lower our 2026E EPS 14% but raise our 2027E EPS 4%. Our new price

target of NT$700 is based on 36x 2027E PE (from 33x 2026E PE), justified by a higher

long-term earnings CAGR of 55% (from 43%).