Japanese foreign investment research report stated that Yusheng’s profitability deteriorated from the second half of 2017. This was due to the initial cost increase after receiving orders for the new 6.1 inch LCD panel iPhone in the second half of this year, plus iPad, MacBook, and mainland China brand wisdom. Orders like mobile phones face price competition.
Japanese foreign investment believes that the improvement in the yield of the iPhone's case has limited the number of new iPhone orders shipped in the second half of this year. It is estimated that in 2018, the iPhone market share in 2019 will be expected to be 2.4% from the original 7.5%. The decrease to 0.4%, 3.4%, and the reduction in shipment volume may make it difficult for Yu Sheng to make profits in the product cycle from the second half of the year to the first half of next year.
Japanese foreign investment analysis, although Yu Sheng is expected to benefit from the new iPad Pro, MacBook shipment volume in the second half of this year, but the new product yield rate is lower fear of erosion profits, so the investment rating from Hao Sheng to drop from 'buy' 'Neutral', the target price is revised down from 118 yuan to 79.5 yuan, originally estimated 2018, 2019 earnings per share of 6.75 yuan, 9.9 yuan, also adjusted to a loss of 4.3 yuan per share, 1.3 yuan.