Goldman Sachs released a research report stating that the target price for Huahong Semiconductor (01347) is HK$31.3, and the rating is “buy.” Huahong's management is optimistic about demand for all major products in 2025. It is expected that this year's strong performing products (CIS, RF, PMIC) will maintain strong momentum next year, and microcontroller units (MCU) and power discrete devices will recover.
According to the report, Huahong Semiconductor's Phase II 12-inch fab will mass produce as scheduled in the first quarter of 2025, and the company will gradually scale up and adjust the pace according to market demand. The Group expects the pricing of existing fabs to remain stable, and the average selling price of new fabs will be higher due to higher process nodes (55nm/40nm).
