Linglong Tyre(SH:601966) Caixin Securities·2024-09-09 07:30Investment Rating - The investment rating for the company is "Buy" [1][3] Core Views - The automotive parts industry is experiencing a recovery, with overseas markets providing incremental growth opportunities [3] - The company reported a revenue of 10.38 billion yuan for the first half of 2024, representing a year-on-year growth of 12.37%, and a net profit of 0.925 billion yuan, up 64.95% year-on-year [3][4] - The company is expanding its production capacity in Serbia, with an investment of 4.62 billion yuan aimed at increasing the annual output of high-performance tires [4] Financial Summary - The company's main revenue is projected to grow from 20.17 billion yuan in 2023 to 22.56 billion yuan in 2024, and further to 28.26 billion yuan by 2026 [3][7] - Net profit is expected to increase from 1.39 billion yuan in 2023 to 2.26 billion yuan in 2024, reaching 3.23 billion yuan by 2026 [3][7] - Earnings per share (EPS) are forecasted to rise from 0.94 yuan in 2023 to 1.53 yuan in 2024, and to 2.20 yuan by 2026 [3][7] - The price-to-earnings (P/E) ratio is projected to decrease from 17.51 in 2023 to 10.79 in 2024, indicating improved valuation [3][7] Market Performance - The company's stock price is currently at 16.53 yuan, with a 52-week price range of 15.43 to 24.29 yuan [1] - The total market capitalization is approximately 24.36 billion yuan [1]