In a report, DBS Group research analysts stated that Luxshare Precision, as a core supplier for iPhones, may be more resilient in its core business than other general Android phone ODMs. Luxshare Precision is facing declining shipments and weakening factory utilization due to memory chip shortages and a slowdown in the recovery of mid-to-low-end Android smartphones and tablets. However, high-end customers, including Apple, should support its electronic components business, and new product introductions, customer share growth, and increasing involvement in AI wearable devices are expected to offset some of the drag. DBS maintains its "Hold" rating and a target price of HK$64.
