KGI said it expects the supply momentum in its supply chain to slow down in the first quarter, while the demand for notebooks and smartphones will see a quarterly decline.
Therefore, the hardware supply chain preferred for Inventec, Wistron, and Master, can be, Chuanhu, Jiaze and Jianzhun, themes include small and medium sized data growth in the second half iPhone circulation and supply expansion.
KGI considers that Inventec's revenue in Q4 of the first quarter of last year was mainly due to the booming demand for smart devices and business notebooks, while Kaisu's iPad demand beat better than expected. From server and laptop needs.
Wistron revenue grew 24%, up 23% quarter on quarter, the best ODM peers, the main driving force comes from the iPhone to increase the proportion of supply and server shipping momentum remained strong.
Among the component suppliers, Jiaze achieved outstanding performance in the fourth quarter of last year, with revenues up 37% and 22% respectively. Reviewing the performance of Quanta, Wistron, Inventec, Keren and Jiaze in 2017, Outperformed peers, most benefited from the higher share of product supply and cut into the new product supply chain.
The server supply chain will also enter the off-season in the first quarter of this year, but the quarterly decrease will be moderate. It is expected that the Purley platform adoption will accelerate after the second quarter of this year, in addition to the data center operators, including the upgrade of enterprise servers. , Quanta, Wei Ying, Jiaze, Chuanhu, Jianzhun is expected to benefit from the first quarter revenue even some companies are expected to be flat, such as Wei Ying and Chuanhu.