Taiwan Tech Focused Asia L/S Analyst

Henry King

Henry King has near 30 years working experience in financial and high tech research industries. He was the managing director, acting as the co-director of the Pan-Asia technology team and the head of Taiwan research in Goldman Sachs Asia. Prior to joining Goldman Sachs, Henry also worked at Credit Suisse and Indosuez WI Carr as the senior analyst focusing on tech industry. He was also the head of Research at IDC Taiwan with expertise on tech industry from 1998 to 2000. Henry was the star analyst in Goldman Sachs Asia and ranked as the No. 1 technology/hardware analyst in Institutional Investor, Alpha, Asiamoney and Thomson Reuters Extel Survey from 2007-2012.

More Evidences Show VGA Card Demand Is Weakening. Maintain Our Conservative View on VGA Card Market

PC Partner: Record FY21 Results and Strong Dividend. Cash Is 70% of Market Cap. Fair Value 18 HKD.

PC Partner (1263) 7.50 Buy Zone for New Chart Highs

Equity Bottom-Up

<ul>
<li>1H22 is likely the peak for VGA card. Our checks with VGA card makers indicate VGA card price fell in January/February and likely to continue for the rest of 2022. </li>
<li>Potential supply surge, demand decline, and price drop will all lead VGA market to trend south in 2H22.</li>
<li>VGA makers will be negatively impacted in 2H22. Gigabyte may be hit the most whereas Asustek may hit the least. Nvidia should also be hit at a certain degree.</li>
</ul>


1H22 is likely the peak for VGA card. Our checks with VGA card makers indicate VGA card price fell in January/February and likely to continue for the rest of 2022. 
Potential supply surge, demand decline, and price drop will all lead VGA market to trend south in 2H22.
VGA makers will be negatively impacted in 2H22. Gigabyte may be hit the most whereas Asustek may hit the least. Nvidia should also be hit at a certain degree.


The Current Huge Gap of VGA Card Demand over Supply May Reverse in 2H22/2023

Gigabyte Technology

The Current Huge Gap of VGA Card Demand over Supply May Reverse in 2H22/2023