Inovance(300124) 华福证券·2024-07-29 05:30Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 61.35 CNY, indicating an expected increase of over 20% relative to the market benchmark index within the next six months [8]. Core Views - The company is expected to achieve revenue of 155.64-161.86 billion CNY in H1 2024, representing a year-on-year growth of 25%-30%. The net profit attributable to shareholders is forecasted to be between 19.73-21.81 billion CNY, with a year-on-year change of -5% to 5% [2]. - The company is focusing on digitalization and internationalization strategies, including the acquisition of a French industrial software company to enhance its digital factory design capabilities [2]. - The general automation business is expected to grow by 5%-10%, while the new energy vehicle business is projected to grow by approximately 60% due to increased deliveries from major clients [2]. Financial Summary - Revenue is projected to grow from 30.42 billion CNY in 2023 to 37.25 billion CNY in 2024, reflecting a growth rate of 22% [3]. - Net profit is expected to increase from 4.74 billion CNY in 2023 to 5.48 billion CNY in 2024, with an EPS growth from 1.77 CNY to 2.05 CNY [3]. - The company’s P/E ratio is projected to decrease from 26.2 in 2023 to 22.7 in 2024, indicating a more attractive valuation over time [3]. Segment Performance - The general automation segment is experiencing stable growth, while the new energy vehicle segment is rapidly expanding, contributing significantly to overall revenue [2]. - The elevator business is under pressure due to a 21.8% decline in housing completion area, leading to an expected revenue decrease of about 5% [2]. - The rail transit business is anticipated to grow by approximately 25% as the company expands its order acquisition efforts [2].