CATL(SZ:300750)2024-10-21 06:09Investment Rating - The report maintains a "Buy" rating for the company, indicating a strong expectation of performance relative to the market [5][7]. Core Insights - The company's profitability has significantly improved in Q3 2024, with a notable increase in gross margin and net profit, despite a cautious approach leading to higher asset impairment provisions [8]. - The company is expected to see a steady increase in the shipment of new products and continued growth in overseas shipments, prompting an upward revision of profit forecasts for 2024-2026 [5][8]. Summary by Sections Market Data - As of October 18, 2024, the closing price is 249.89 CNY, with a market capitalization of 974,937 million CNY and a price-to-book ratio of 5.6 [2]. Financial Performance - In Q3 2024, the company reported revenue of 922.78 billion CNY, a year-on-year decrease of 12.5%, while net profit reached 131.36 billion CNY, up 26.0% year-on-year [7]. - The gross margin for Q3 2024 was 31.2%, marking a significant increase from previous quarters [8]. Profit Forecasts - The revised net profit estimates for 2024-2026 are 506.8 billion CNY, 615.5 billion CNY, and 717.1 billion CNY, respectively, with corresponding price-to-earnings ratios of 22, 18, and 15 [5][6]. Shipment and Market Share - The company is expected to ship approximately 140-150 GWh of lithium batteries in Q4 2024, continuing the trend of high growth in shipments [8]. - The global market share for the company's power batteries reached 37.1% in the first eight months of 2024, reflecting a year-on-year increase of 1.6 percentage points [8].