CMB International Securities (CMBIS) trimmed its target price for FIT Hon Teng (06088) to HK$3.63 from HK$4.1 and maintained its "buy" rating.
FIT issued a profit warning for FY2020. The research house believes recent 30% stock correction has priced in FY2020 weakness, and strong PC WFH (work from home) demand, Belkin's new TWS (true wireless stereos)/wireless products, and EV momentum will drive earnings recovery of 76%/16% in FY2021/22.
CMBIS also expects FIT to accelerate 5G/smart home product launches, such as 5G handset antenna, backplanes in base stations. In particular, it expects a better revenue mix with fewer iPhone earphone/optical modules will boost profitability and drive earnings recovery in FY2021. It expects FIT's earnings to rebound 76%/16% in FY2021/22.
etnet榮獲HKEX Awards 2023 「最佳表現證券數據供應商」大獎► 了解詳情