Sega Technology (002796): 5G base station RF upstart waiting for ceramic volume

Sega Technology (002796): 5G base station RF upstart waiting for ceramic volume

5G base station antenna filters are upstart, welcoming new opportunities in the 5G industry. The company’s traditional main business is the precision cabinet system business. After acquiring Bofat in 18 years, it has successfully expanded into the field of mobile communications, and its revenue and net profit have increased significantly.

We are optimistic about the company’s future growth: 1) Gradually realize the in-depth coverage of 4G networks and the acceleration of 5G base station construction by domestic and overseas operators, and the strong demand for mobile communications products will promote the company’s revenue growth; 2) Gradually deploy newProducts-continuous research and development layout of ceramic dielectric filter technology, horizontal expansion of new customers-successfully entered the Ericsson supplier system and opened up the incremental market; 3) business performance of traditional precision cabinet systems bottomed out, and future business or benefit policies will drive stable growth.

We expect the company’s EPS for 2019-2021 to be 0.



92 yuan, the first coverage given a “buy” rating.

  5G commercial use promotes the growth of the antenna RF terminal market size and increases the 5G era width, delay, synchronization and other comprehensive performance improvements. It promotes the large-scale upgrade of antenna radio frequency technology. Looking at the expansion of antennas and antenna activation as a whole, the overall radio frequency side value has increased significantly.
According to calculations, we estimate the high-level space availability of the macro base station antenna market during the peak construction period (2020-2022).


6 ppm; Compared with the 4G scale construction period, the average annual expansion of the domestic market has increased by 32%?

Corresponding filter market, it is expected that the macro base station filter market space will be about 51 per year during the peak construction period (2020-2022).


400 million US dollars, compared with the 4G scale construction period, the average annual size of the domestic market exceeds the growth rate by 91%?

  5G radio frequency products have been supplied to Ericsson. Since the company’s wholly-owned acquisition of Bofat in 18 years, the company successfully expanded into the field of mobile communications. In the same year, it completed the issuance of 5G market demand to increase the RF throughput of antennas.

5G antennas are miniaturized, integrated, and more demanding. Filter technology is replaced by ceramic dielectrics. The company has gradually deployed ceramic dielectric filter technology through the acquisition of 51% distribution of Gigabit Electronics, and has now entered the customer sample test stage.

In terms of customers, the company was originally one of the main suppliers of antenna RF products for ZTE and Nippon Dentsu. Now it has successfully entered the Ericsson supplier system and tried to open up incremental market space.

  The traditional business or the beneficiary of installing old elevators and other policies to install traditional precision box system business, the effect of switching costs and increasing efficiency has begun to take shape. In 19H1, operating results 佛山桑拿网 bottomed out and rebounded. Overall, downstream demand was positively correlated with the macroeconomic boom.
In the recent policy plan, the State Council has planned to accelerate the transformation of old urban communities and the aging of the population to promote the installation or replacement of existing dwellings. In the medium and long term, the company may benefit from the policy, and its business will promote steady growth.

  5G antenna radio frequency upstart, the first coverage given a “buy” rating. We expect the company 2019?
The net profit attributable to mothers will be 1 in 2021.



24 ppm, the corresponding EPS is 0.



92 yuan, corresponding PE is 36/20 / 17x.

At present, comparable companies in the same industry are expected to have a PE of at least 29x in 2020.

Taking into account the company’s future prospects for horizontal expansion of more customers and the smooth mass production of ceramic dielectric filters, we believe that the company’s 2020 PE 25-30x estimated level can be given, corresponding to a target price of 39.

twenty three?

08 yuan, the first coverage given a “buy” rating.

  Risk warning: 5G development exceeds expectations; horizontal expansion customers are less than expected; self-developed ceramic dielectric filter solutions are less than expected.