Research Report Goldmine | KGI Securities( Hong Kong): Upgrades Yutong Microelectronics to "Buy" rating, AMD secures large order from Meta, benefiting both companies

NightAirdropper · 2026-02-27T05:45:00+00:00

Fubon Securities pointed out that Meta's collaboration with AMD will boost AMD's chip business, with future revenue expected to exceed $100 billion, which is positive for Tongfu Microelectronics. As a core packaging and testing manufacturer, Tongfu Microelectronics will benefit from order growth and has raised its profit forecast by 5%. The company is seizing opportunities in AI and domestic substitution through additional issuance, with a long-term positive outlook, and its stock rating is "Buy."

NightAirdropper

2026-02-27 05:45:00

Abstract generation in progress

KGI Securities (Hong Kong) research report states that Meta and AMD announced a partnership to deploy a total of 6,000 gigawatts of AMD chips (MI450). It is expected to generate over $100 billion in revenue for AMD in the coming years. Tongfu Microelectronics, as AMD’s core packaging and testing manufacturer, is likely to benefit significantly from the increase in major customer business scale, with profit forecasts for 2027 raised by 5%. In terms of amount, the total order value is expected to exceed $100 billion. This collaboration is positive for Tongfu Microelectronics, which is AMD’s core packaging manufacturer (Tongfu Microelectronics acquired AMD’s overseas packaging and testing business). Both AMD’s Penang and Suzhou factories hold a 15% stake in Tongfu Microelectronics, resulting in considerable revenue growth for the company and a positive long-term impact. Additionally, through a private placement, the company aims to seize strategic opportunities in AI and domestic substitution, further expanding its influence in the packaging and testing field, with a positive long-term outlook. Currently, the stock price corresponds to a PE ratio of 40x for 2026 and 26x for 2027, with a “buy” rating.

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