(01478-hk) higher capacity utilization rate in the second half of 20 years, improved efficiency of Indian business and reduced expenditure related to the new crown epidemic will support the month on month increase of gross profit rate, but on the other hand, the slowdown of product structure upgrading will be unfavorable to the gross profit rate. The bank expects the gross profit margin in the second half of the year to be 8.4% (including 8.3% / 8.8% for mobile phone camera module / fingerprint module), and the average price of camera module is 43.7 yuan. < p > < p > Qiuti’s current revenue from Samsung and Xiaomi is not high, so the bank believes that the customer structure may affect the company’s shipment volume from the end of 2020. < p > < p > Qiuti’s current stock price corresponds to 16 times / 13 times 2020 / 21 price earnings ratio, and its valuation is more attractive than that of a / H share smart phone components. Based on a 15 times 2021 P / E ratio, the bank maintains its target price of HK $14.00. Keep buying.