Goldman Sachs maintains Buy on WUS as AI PCB upgrades and global capacity expansion support growth

Overview

This conference-takeaway report maintains Goldman Sachs' Buy rating on WUS. The central thesis is that the company can capture a rising AI PCB opportunity through higher-end product capabilities and coordinated capacity expansion across China and Thailand.

Core views

Goldman Sachs argues that WUS is positioned for growth as AI infrastructure ramps and raises PCB requirements across AI servers, high-performance computing and high-speed networking equipment. Higher computing density per rack and faster networking increase requirements for signal integrity, power integrity and long-term reliability. The report also identifies greater PCB usage per AI-server rack, including substitution for copper cables and easier assembly, as a further source of demand. Management highlighted WUS's technology capability, product reliability and cost advantages in AI PCBs. To meet more demanding specifications, the company is strengthening ultra-high-layer stack-up architecture, new-material and HDI capabilities. Goldman Sachs notes that combining forward-looking R&D with mass-production capability, alongside upgrades to digital and AI-enabled manufacturing, could shorten the path from technology development to stable volume production. This is intended to support further data-communications product-mix optimization. Capacity expansion is the second main pillar of the thesis. In China, WUS continues to expand AI-PCB production lines while advancing new product and technology development. In Thailand, the factory has completed certification with most global-tier customers and has achieved volume production; management is continuing to improve the product mix and add capacity. The company aims to coordinate factories across countries to provide timely and flexible production service amid geopolitical tension. Goldman Sachs maintains Buy and sets a 12-month target price of Rmb142, based on 23x 2027E EPS. The target multiple is derived from the relationship between P/E and EPS growth among WUS peers, using the company's estimated 2027-28 EPS year-on-year growth. The stated price was Rmb118.39 at the 2 September 2026 close, implying 19.9% upside.

Analysis framework

The report combines management commentary from the Asia Leaders Conference with an assessment of AI PCB demand drivers, WUS's technology and manufacturing execution, and its China and Thailand capacity plans. It then applies a peer-informed P/E multiple to 2027E EPS to set the 12-month target price.

Methodology notes

• Valuation methodsP/E and PEG Valuation

  Peer-informed P/E valuation linked to EPS growth

  Goldman Sachs applies a 23x target P/E to WUS's 2027E EPS. It derives that multiple from the observed relationship between P/E and EPS growth among peers, using WUS's estimated 2027-28 EPS growth.

• Industry AnalysisUpstream-Midstream-Downstream Transmission

  AI infrastructure demand transmission into PCB demand and specifications

  The report links AI-server rack density and high-speed networking requirements to higher PCB content, more demanding specifications and demand for WUS's higher-end products.

Asset mapping & comparison

Structured mapping from thesis to named assets (strengths, weaknesses, peers, risks).

• WUS (002463.SZ)

  Primary covered company expected by Goldman Sachs to benefit from AI PCB specification upgrades and capacity expansion.

  Strengths

  Technology capability, product reliability, cost advantages, R&D-to-mass-production integration, and certified Thailand volume production.

  Comparison

  The target P/E is derived from the correlation between P/E and EPS growth among WUS peers.

  Risks

  Slower AI-server and high-speed-switch migration, fiercer AI PCB competition, and slower new-capacity expansion.

Key data

• 12-month target priceRmb142.00Derived using a 23x target P/E multiple on 2027E EPS.
• Share priceRmb118.39As of the 2 September 2026 close.
• Implied upside19.9%Relative to the stated share price and 12-month target price.
• 2027E EPSRmb6.18Goldman Sachs forecast used in the valuation context.
• 2028E EPSRmb8.75Goldman Sachs forecast.
• 2027E revenueRmb46,964.1mnGoldman Sachs forecast.
• 2028E revenueRmb63,467.1mnGoldman Sachs forecast.

Impact & implications

Goldman Sachs believes that WUS's technology upgrades and international production coordination should help it participate in the shift toward higher-value AI PCBs. The investment case depends on AI-server and high-speed-switch migration progressing as expected and on new capacity becoming available on schedule.

Risks

• High-end AI server and high-speed switch migration could be slower than expected.
• Competition in the AI PCB market could be fiercer than expected.
• New capacity expansion could proceed more slowly than expected.