Wiwynn: Reaffirm the strong growth through 2027

We maintain our Buy on Wiwynn with a price target of $2,470 and also in the UBS regional most preferred tech list. Amid the market noise, we stay positive on the company's growth, with catalysts from liquid cooled ASIC servers in initial production and ramping up further through 2027 and Helios racks on track as a new project commencing from late 2026E through 2027. We do see general server cooling into Sep and Q426 to offset the ASIC server ramp before picking up from Q127 as customers transition to the next-generation Clearwater Forest/Venice platforms. Wiwynn August sales of NT$144.3bn, +22.6% MoM, 50.4% YoY tracked ahead at 74%/73% UBSe/Street of +27%/+29% QoQ estimate in Q3, driven mainly by pre-build ahead of further price hikes, with tight supply across memory, CPU and PCB but limited delivery impact through August. We factor in lower NRE and mix shifting from general server toward ASIC, with GM/OpM of 8.8/6.8% in Q3 and 8.7/6.7% in Q4 off the higher Q2 base of 9.3/7.3%. We main