07.18.2001
I-chia’s pretax profit revised down sharply
Development: I-chia, a handset keypad manufacturer, revised down 2001
revenue and pretax profit targets by 26% and 33%, respectively.
Analysis: In addition to torpid handset demand, the company also cites
increased inventories on the client side. Nonetheless, we believe heightened competition
will undercut I-chia’s margin going into 2H01.
Primasia View: Based on our revised EPS forecast of NT$2.50 for 2001,
the stock is currently trading at a P/E of around 20x, which we consider Overvalued.
VincentChen@Primasia.com +886-[0]2-2547-8868 |
