GigaCloud-Data-driven B2B pioneer on large parcel logistics
As a global B2B pioneer, GCT formed a high barrier to market entry with supply chain, end-to-end logistics and data-driven operations. We believe GCT would be relatively resilient on macro uncertainty, and keep confident on its organic GMV growth and solid profitability, backed by booming demand of cross-border ecommerce and sellers & buyers expansion. Potential M&A would scale up its 1P&3P business, and bring further synergy in the long run, with improving margin ahead. We initiate BUY with TP of US$17.2, for its attractive valuation (4.8x FY23E P/E) and above-industry growth (22% earnings CAGR in FY23-25E), with multiple catalysts to come.