Endovastec(SH:688016) ZHONGTAI SECURITIES·2024-07-18 01:00Investment Rating - The investment rating for the company is "Buy" (maintained) [1][18]. Core Insights - The company is expected to achieve revenue of 7.77-8.08 billion yuan in the first half of 2024, representing a year-on-year growth of 25%-30%, and a net profit of 3.91-4.19 billion yuan, indicating a year-on-year increase of 40%-50% [4]. - The company continues to see strong growth in its core vascular intervention products, with significant quarterly performance improvements driven by new product penetration in various markets [4]. - The acquisition of a 72.37% stake in Optimum Medical Device Inc. is anticipated to enhance the company's competitiveness in the vascular intervention sector and accelerate its expansion into overseas markets [4]. - The company is projected to maintain robust growth with revenues expected to reach 15.10 billion yuan in 2024, 19.19 billion yuan in 2025, and 24.25 billion yuan in 2026, with corresponding net profits of 6.55 billion yuan, 8.35 billion yuan, and 10.51 billion yuan respectively [4]. Financial Summary - The company’s total share capital is 123 million shares, with a market price of 92.61 yuan, resulting in a market capitalization of 11,415 million yuan [2]. - Revenue and net profit forecasts for the upcoming years are as follows: - 2022A: Revenue 897 million yuan, Net Profit 357 million yuan - 2023A: Revenue 1,187 million yuan, Net Profit 492 million yuan - 2024E: Revenue 1,510 million yuan, Net Profit 655 million yuan - 2025E: Revenue 1,919 million yuan, Net Profit 835 million yuan - 2026E: Revenue 2,425 million yuan, Net Profit 1,051 million yuan [2][4]. - The company’s P/E ratio is projected to decrease from 32.0 in 2022 to 10.9 in 2026, indicating improving valuation metrics over time [2].