CHJ(SZ:002345)2024-06-28 01:31Investment Rating - The report maintains a "Buy" rating for the company, with a target market value of 6.9 billion yuan, indicating an upside potential of 57% [24][27]. Core Viewpoints - The company is a local young fashion jewelry brand that has been deeply engaged in the fashion industry for nearly thirty years, focusing on jewelry and women's bags. It has achieved significant revenue growth, with a 2023 revenue of 5.9 billion yuan, a year-on-year increase of 33.6% [24][65]. - The gold and jewelry industry is experiencing steady growth, with the market size reaching 820 billion yuan in 2023, and a compound annual growth rate (CAGR) of 5.3% from 2013 to 2023. The industry is benefiting from rising disposable income and increasing gold prices [24][56]. - The company is enhancing its young and fashionable positioning, accelerating store expansion through a franchise model, and leveraging its strong design capabilities to capture market share [24][28]. Summary by Sections Company Overview - The company operates under three main brands: "CHJ潮宏基," "VENTI梵迪," and "FION菲安妮," focusing on mid-to-high-end fashion consumer products, primarily jewelry and women's bags [24][65]. - The company has undergone several phases, including a focus on jewelry and women's bags since 2019, resulting in a revenue CAGR of 13.6% and a net profit CAGR of 42.3% [46][65]. Industry Analysis - The gold and jewelry market is projected to grow, driven by new gold processing techniques and evolving consumer preferences. The market is expected to benefit from the trend of domestic cultural products and the increasing demand for self-purchase jewelry [56][63]. - The competitive landscape of the jewelry industry is improving, with the top four companies holding a market share of 28.6% in 2023, up from 4.6 percentage points since 2018 [24][56]. Financial Forecast and Valuation - The company is expected to achieve net profits of 4.03 billion yuan, 4.81 billion yuan, and 5.68 billion yuan for 2024, 2025, and 2026, respectively, with corresponding price-to-earnings ratios of 11, 9, and 8 [24][27]. - The company's strong design capabilities and franchise expansion strategy are anticipated to drive growth, with a focus on enhancing online sales and optimizing store operations [24][28].