Tuopu Group(SH:601689) Guotai Junan Securities·2024-09-02 08:44Investment Rating - The report maintains a "Buy" rating for the company with a target price of 58.82 CNY [3][9]. Core Views - The mid-year report meets expectations, with a successful platform strategy leading to smooth customer expansion and a richening product line, driving rapid revenue growth [1]. - The company achieved a revenue of 12.22 billion CNY in the first half of 2024, representing a year-on-year growth of 33.4%, and a net profit of 1.46 billion CNY, also up by 33.1% [3]. - The automotive electronics business shows significant growth, with various product lines contributing to revenue increases, including a remarkable 767% growth in automotive electronics revenue [3]. - The company is accelerating its global expansion, establishing manufacturing plants in multiple countries, which lays a foundation for long-term growth [3]. Financial Summary - Revenue for 2022 was 15,993 million CNY, projected to grow to 46,229 million CNY by 2026, reflecting a compound annual growth rate (CAGR) of 28.2% [2]. - Net profit attributable to the parent company is expected to rise from 1,700 million CNY in 2022 to 4,959 million CNY in 2026, with a CAGR of 28.0% [2]. - The earnings per share (EPS) is forecasted to increase from 1.01 CNY in 2022 to 2.94 CNY in 2026 [2]. - The company’s price-to-earnings (P/E) ratio is projected to decrease from 33.38 in 2022 to 11.45 in 2026, indicating improving valuation [2].