SG Micro (300661.SZ): PMIC / Signal chain to ride on AI data center and optical module growth; Neutral

We remain constructive on SG Micro's PMIC (Power Management IC) / Signal chain product expansion, supported by (1) growing AI data center and optical module demand, with continued product portfolio expansion supporting higher dollar content; (2) recovery in industrial demand and product expansion across industrial automation, energy and robotics; and (3) broader automotive product and customer coverage, supporting product mix upgrade and lower relative exposure to consumer electronics. We expect these drivers to support the company's continued market share gains and revenue growth. Maintain Neutral on fair valuation;