SHANTUI(SZ:000680) ZHESHANG SECURITIES·2024-07-28 08:02Investment Rating - The investment rating for the company is "Buy" (maintained) [5] Core Views - The company's executives have increased their holdings, demonstrating confidence in future development [4] - The export of large horsepower bulldozers and the growth of excavators are expected to drive growth [4] Financial Forecast - Revenue is projected to grow from 10,541 million in 2023 to 18,266 million by 2026, with a CAGR of 24% [2] - Net profit attributable to shareholders is expected to increase from 765 million in 2023 to 1,439 million by 2026, with a CAGR of 24% [2] - Earnings per share (EPS) is forecasted to rise from 0.51 in 2023 to 0.96 in 2026 [2] - The price-to-earnings (P/E) ratio is projected to decrease from 13 in 2023 to 7 in 2026, indicating a relatively low valuation [2] Business Development - The bulldozer industry is experiencing high export growth, with a 15% increase in total exports and an 86% increase in large horsepower bulldozer exports in the first half of 2024 [4] - The company ranks third globally in bulldozer sales and holds over 70% market share in China [4] - The excavator business is expected to leverage the sales channels of bulldozers and the advantages of Shandong Heavy Industry Group [4] - The company has developed over 140 overseas agents and distributors, enhancing its international sales network [4] Management and Strategy - The management team has extensive experience in the industry, with many leaders having previously worked at Shandong Heavy Industry Group and related companies [4] - The company aims to increase the proportion of high-margin large bulldozers in its sales mix, which is expected to enhance profitability [4]