YISHENG(SZ:002458)2024-08-06 12:31Investment Rating - The report maintains an "Outperform" rating for the company, indicating a positive outlook for its performance relative to the market [6]. Core Views - The report anticipates a recovery in the white feather broiler market in the second half of 2024, driven by a decrease in supply and a potential increase in demand [6]. - The company has adjusted its sales price assumptions for broiler chicks for 2024, lowering the expected average price growth from 12% to flat compared to 2023, which has led to a revision in profit forecasts [6]. - Revenue projections for the company from 2024 to 2026 are estimated at 3.38 billion, 3.34 billion, and 3.40 billion yuan respectively, with net profits expected to be 850 million, 710 million, and 600 million yuan [6]. Summary by Sections Market Data - Closing price as of August 6, 2024, is 8.91 yuan, with a one-year high/low of 14.04/7.96 yuan [2]. - The company has a price-to-book ratio of 2.3 and a dividend yield of 2.24% [2]. Financial Performance - For the first half of 2024, the company reported total revenue of 1.38 billion yuan, a decrease of 25.8% year-on-year, and a net profit of 183 million yuan, down 67.6% year-on-year [7]. - The average sales price for broiler chicks was 3.78 yuan per chick, reflecting a 21.5% decline year-on-year [7]. - The company sold 277 million white feather chicks in the first half of 2024, a decrease of 15.6% year-on-year [7]. Future Outlook - The company expects to achieve a revenue of 3.38 billion yuan in 2024, with a net profit of 854 million yuan, translating to an earnings per share of 0.77 yuan [5]. - The report highlights the potential for the company's pig breeding business to continue expanding, with significant revenue growth anticipated [7].