Zhejiang Jingsheng Mechanical & Electrical (SZ:300316) Haitong Securities·2024-07-23 06:31Investment Rating - The investment rating for the company is "Outperform the Market" [3] Core Views - The company leads the photovoltaic semiconductor industry, with advanced crystal equipment expected to further enhance market share [6] - The main business products include manufacturing and processing equipment for photovoltaic and semiconductor integrated circuits, as well as materials in the semiconductor sector. In 2023, equipment and service sales accounted for 71.24% of total revenue, with a year-on-year growth of 51.29%, while materials sales accounted for 23.15%, with a year-on-year growth of 186.15% [6][7] - The company is expected to achieve stable revenue growth, with total revenue in Q1 2024 reaching 4.51 billion, a year-on-year increase of 25.28% [6] Summary by Sections Business Overview - The company has a comprehensive product range covering the entire photovoltaic industry chain, including silicon wafers, batteries, and modules. In 2023, it launched the fifth-generation monocrystalline furnace based on N-type products, which has achieved international leading market share [6] - The company is actively innovating in semiconductor equipment, achieving breakthroughs in domestic production of large silicon wafer manufacturing and chip packaging equipment [6][7] Financial Performance - The company’s revenue for 2023 is projected at 17.983 billion, with a year-on-year growth of 69.0%. Net profit is expected to be 4.558 billion, reflecting a year-on-year growth of 55.8% [8][12] - For 2024-2026, the company forecasts net profits of 5.538 billion, 6.350 billion, and 7.282 billion respectively, with growth rates of 21.5%, 14.7%, and 14.7% [7][12] Valuation - The company is valued at a reasonable range of 33.84 to 42.30 yuan based on a PE ratio of 8-10 times for 2024, reflecting its position as a leading enterprise in the photovoltaic semiconductor equipment industry [7][11]