The Taiwan Stock Exchange’s price leader Largan Precision Co., Ltd. announced its self-clearing revenue in December on January 5. According to its financial report, its December consolidated sales reached NT $5.446 billion, up 5% than its November figure and up 37% from the same period in 2015. Largan’s revenue has maintained at peak, so foreign investors kept on raising their recommendation rating and target price. Hence, on Jan. 5, its closing price increased NT $270, and its stock price closed at a historic new peak of NT $4,050 per share, also a highest-ever new record price of Taiwan Stock Exchange.
Largan expressed, during the fourth quarter of 2016, its consolidated sales came to NT $15.722 billion, up 10% from the third quarter and up 2% from the same period in 2015. The accumulated annual consolidated sales arrived at NT $48.352 billion, slightly down 13% from its 2015 revenue.
As for the outlook of 2017 revenue, Largan explained, in an off season, January 2017 has been sandwiched between New Year Holidays and Lunar Chinese New Year Holidays. Thus, the amount of working days in January was reduced. That is why Largan predicted January 2017’s revenue will drop.
Regarding product specification’s shipment proportion, in December 2016, Largan’s shipment proportion of ten million pixels camera lens stayed at 70% ~ 80% of total shipment. With respect to 8 million pixels and above category, its shipment proportion was maintained at 10% ~ 20% level. As to 5 million pixels and under category, its shipment proportion reached 10%.
Apple’s new iPhone model will carry dual camera in the future. In addition, non-Apple camp’s smartphone dual camera demand will increase. Thus, Largan’s revenue is expected to rise.
Moreover, recently related foreign investors’ reports all positively anticipate Largan’s future revenue growth. Morgan Stanley Capital International (MSCI) expressed on Jan. 4, the recent tightened capacity will help Largan’s revenue growth in first quarter of 2017. Moreover, Largan’s capacity has reached full utilization rate, and iPhone 7 Plus’ stocking-up momentum is not slowing down. Combination of factors above will support Largan’s revenue in first quarter of 2017, so that it will merely drop 20% from the fourth quarter of 2016. Therefore, MSCI moved up Largan’s reasonable stock price from NT $4,500 per share to NT $5,000 per share. Aside from Citigroup Global Markets Inc., MSCI was the second foreign securities firm that predicts Largan stock price will rise to the challenge of NT $5,000 per share.