Core Viewpoint - China International Capital Corporation (CICC) has initiated coverage on Shuangdeng Group Co., Ltd. (6960.HK), rating it as "outperform" with a target price of HKD 22.90, highlighting its leading position in the communication and data center energy storage sector and the growth potential from the global Artificial Intelligence Data Center (AIDC) market [1] Group 1: Market Position and Share - Shuangdeng Group is ranked first globally in battery shipments for communication and data center energy storage, with a market share of 11.1% in 2024 [1] - The company holds the top position among Chinese enterprises in the global data center energy storage market with a market share of 16.1% and ranks first in the global telecom base station energy storage market with a market share of 9.2% [1] Group 2: Customer Base and Revenue Contribution - By the end of 2024, Shuangdeng Group will cover nearly 30% of the top 100 global telecom operators and equipment manufacturers, including major clients like China Mobile, China Telecom, Ericsson, and France Telecom [2] - The company has an 80% coverage rate among China's top ten proprietary data center companies and a 90% coverage rate among the top ten third-party data center companies, serving large tech firms such as Alibaba, Baidu, and JD.com [2] - Data center and telecom base station energy storage combined will contribute over 88% of the company's revenue by the first half of 2025, indicating a high concentration in these high-growth areas [2] Group 3: International Expansion and R&D - The market previously underestimated Shuangdeng Group's potential for international expansion, with the company establishing subsidiaries in Singapore and the United States, and actively pursuing localized manufacturing to enhance international growth [3] - In 2024, the company's overseas business is expected to generate revenue of CNY 890 million, accounting for nearly 20% of total revenue, with a focus on local manufacturing to reduce geopolitical risks and improve responsiveness [3] - Shuangdeng Group has a strong R&D capability, holding 337 patents and participating in drafting 31 national and industry standards, which creates competitive barriers [3] - The company's lithium battery products for data centers support ultra-fast charging capabilities and integrate multi-level Battery Management Systems (BMS) for real-time monitoring, significantly enhancing safety and operational efficiency [3]
中金首次覆盖双登股份（6960.HK）：海外卡位头部客户，市场显著低估其成长空间