SANY(SH:600031) Soochow Securities·2024-07-03 23:00Investment Rating - The investment rating for SANY Heavy Industry is "Buy" (maintained) [1] Core Views - SANY Heavy Industry has made significant breakthroughs in the electric excavator market in Europe, marking a step towards becoming a global leader through globalization and electrification [1][3] - The company has a comprehensive electric product line and has achieved rapid revenue growth in electric products, with sales in 2022 and 2023 reaching 2.7 billion and 3.15 billion yuan respectively [3] - The global electric construction machinery market is expected to grow significantly, with a potential electric penetration rate of over 30% in the future, indicating vast market opportunities [3] - SANY's overseas revenue accounted for 60% in 2023, which is crucial for smoothing domestic cyclical fluctuations and enhancing its global market position [3] Financial Forecasts and Valuation - The total revenue forecast for SANY Heavy Industry is projected to be 78.963 billion yuan in 2024, with a year-on-year growth of 6.68% [2] - The net profit attributable to the parent company is expected to reach 6.284 billion yuan in 2024, reflecting a significant year-on-year increase of 38.79% [2] - The current market valuation corresponds to a P/E ratio of 21.07 for 2024, which is expected to decrease to 11.69 by 2026 [2][3] - The company is expected to maintain a strong growth trajectory with net profits projected at 6.3 billion, 8.5 billion, and 11.3 billion yuan for 2024, 2025, and 2026 respectively [3]