Yongjin Technology (SH:603995) GF SECURITIES·2024-07-11 01:31Investment Rating - The report assigns a "Buy" rating to the company, expecting its stock price to outperform the market by 15% or more over the next 12 months [5][31]. Core Views - The company is projected to see significant growth in earnings, with an estimated EPS of 2.09, 2.40, and 2.55 for the years 2024, 2025, and 2026 respectively, corresponding to PE ratios of 9, 8, and 8 times [11][17]. - The company is expected to benefit from the release of new production capacities, with a projected net profit increase of 87% to 111% year-on-year for the first half of 2024 [12][11]. - The report highlights the stability of the company's earnings compared to its peers, suggesting a reasonable valuation of 29.24 CNY per share based on a 14 times PE for 2024 [11][13]. Financial Summary - Revenue is projected to grow from 39,874 million CNY in 2023 to 45,623 million CNY in 2024, reflecting a growth rate of 14.4% [17]. - The company's net profit is expected to rebound significantly, with a forecast of 764 million CNY for 2024, up from 453 million CNY in 2023, marking a growth rate of 68.5% [17]. - The report provides a detailed financial outlook, including EBITDA projections of 1,806 million CNY for 2024, indicating a positive trend in operational performance [17].