Hua Xia Shi Bao·2025-10-15 23:44Core Viewpoint - The performance of Jinli Permanent Magnet (300748.SZ) in the third quarter exceeded expectations, driven by significant profit growth and supportive policy signals, making it a market focus [2][4]. Financial Performance - Jinli Permanent Magnet's stock price increased by 39.94% over three trading days from October 9 to 13, 2023, with a notable profit forecast indicating a year-on-year net profit growth of 157% to 179% for the first three quarters of 2025 [2][11]. - The company reported a substantial increase in net profit, with a forecasted range of 5.05 billion to 5.5 billion yuan, and a non-GAAP net profit growth of 365% to 415% [2][13]. - The third quarter is expected to show a net profit of 2 billion to 2.4 billion yuan, reflecting a year-on-year increase of 159% to 217% [11]. Market Dynamics - The recent surge in Jinli Permanent Magnet's stock price is attributed to a recovery in rare earth prices and strong demand in the electric vehicle and clean energy sectors, which are critical for the company's growth [7][9]. - The company is positioned well within the rare earth industry, benefiting from structural changes and a strong customer base, which has led to a significant rebound in profitability [3][7]. Industry Trends - The rare earth permanent magnet sector is experiencing renewed market interest due to government policies on export controls, which have heightened focus on the industry [4][5]. - Jinli Permanent Magnet is seen as a bellwether in this capital chase, with its stock reaching a historical high of 47.77 yuan per share, representing an increase of approximately 184% from the year's low [4][5]. Future Outlook - The company is expected to maintain high growth through 2026, driven by its focus on high-performance rare earth permanent magnet materials, particularly in the electric vehicle and wind power sectors [9][14]. - However, challenges such as increased competition and potential price wars in the industry could impact future profitability, especially if demand does not meet expectations [14][15].