Western Mining(SH:601168) HTSC·2024-10-21 08:03Investment Rating - The investment rating for the company is "Accumulate" [8] Core Views - The company achieved a record high in Q3 2024 with revenue of 11.748 billion RMB, a year-on-year increase of 23.02% and a quarter-on-quarter decrease of 16.11%. The net profit attributable to the parent company was 1.112 billion RMB, up 60.91% year-on-year and 25.81% quarter-on-quarter [2] - The company’s growth potential is considered favorable due to the expansion expectations of projects like the Yulong Copper Mine [2] Summary by Sections Financial Performance - In the first three quarters of 2024, the company reported revenue of 36.725 billion RMB, a year-on-year increase of 13.93%, and a net profit of 2.732 billion RMB, up 24.33% year-on-year [2] - The gross margin for Q3 2024 was 25.35%, an increase of 2.27 percentage points quarter-on-quarter, while the net margin was 16.16%, up 5.02 percentage points [3] Project Developments - The Yulong Copper Mine's processing capacity has been enhanced to 22.8 million tons per year, with a planned output of approximately 160,000 tons of copper concentrate in 2024, representing a year-on-year increase of about 30,000 tons [4] - The company is actively progressing multiple projects, including the comprehensive recycling and environmental upgrade project at the Xikang Precious Metals Company, which is now in trial production [5] Valuation and Price Target - The target price for the company is set at 23.40 RMB, based on a revised forecast of net profits for 2024-2026 of 3.788 billion RMB, 4.476 billion RMB, and 5.650 billion RMB respectively, with corresponding EPS of 1.59 RMB, 1.88 RMB, and 2.37 RMB [6][9]