HASCO(SH:600741) Haitong Securities·2024-09-05 09:12Investment Rating - The investment rating for the company is "Outperform the Market" and is maintained [2] Core Views - The company has shown a strong increase in net profit excluding non-recurring items, with a year-on-year growth of 9.1% in the first half of 2024, and a significant increase of 40.5% quarter-on-quarter in Q2 2024 [6] - The company is progressing towards neutrality, with 62% of its main business revenue coming from customers outside the SAIC Group, including major clients like Tesla Shanghai and BYD [6] - The share of revenue from self-owned brands and new energy vehicles has increased, with over 50% of new business related to domestic self-owned brands and over 70% related to new energy vehicles [6] Financial Performance Summary - For H1 2024, the company achieved revenue of 77.292 billion yuan, a year-on-year increase of 0.42%, with Q2 revenue at 40.271 billion yuan, up 0.3% year-on-year and 8.8% quarter-on-quarter [6] - The projected revenues for 2024, 2025, and 2026 are 174.544 billion yuan, 180.746 billion yuan, and 187.211 billion yuan respectively, with corresponding net profits of 6.806 billion yuan, 7.241 billion yuan, and 7.783 billion yuan [7][11] - The estimated EPS for 2024, 2025, and 2026 are 2.16 yuan, 2.30 yuan, and 2.47 yuan respectively, with a PE ratio of approximately 7.1, 6.7, and 6.2 times [6][11] Valuation - The reasonable PE range for the company in 2024 is estimated to be between 8 and 10 times, corresponding to a fair value range of 17.27 to 21.59 yuan [6] - The company’s stock price as of September 4, 2024, was 15.30 yuan, with a market capitalization of 48.237 billion yuan [2][6] Comparative Analysis - The company’s financial metrics are compared with peers, showing a competitive position in terms of valuation multiples [10]