STL(SZ:002648) Haitong Securities·2024-10-23 08:14Investment Rating - The investment rating for the company is "Outperform the Market" [2] Core Insights - The company reported a revenue of 32.275 billion yuan for Q1-Q3 2024, a year-on-year increase of 0.71%, and a net profit attributable to shareholders of 3.693 billion yuan, up 7.64% year-on-year. In Q3 2024 alone, revenue reached 12.875 billion yuan, reflecting a 9.89% increase year-on-year, with a net profit of 1.637 billion yuan, up 2.08% year-on-year [5] - The company is advancing its Lianyungang α-olefin high-end new materials industrial park project, expected to be completed by the end of 2025 and officially put into production in early 2026. Additionally, the first phase of the 800,000-ton multi-carbon alcohol project has been launched, enhancing the resilience of the C3 industrial chain [5] - The company achieved breakthroughs in technology, with several technologies reaching international advanced levels, which is beneficial for promoting the autonomy and safety of the new materials industry [5] - Profit forecasts for the company indicate net profits of 6.014 billion yuan, 8.030 billion yuan, and 9.015 billion yuan for 2024 to 2026, with corresponding EPS of 1.79 yuan, 2.39 yuan, and 2.69 yuan. The reasonable value range based on a PE of 12-14 times the 2024 EPS is estimated to be between 21.48 and 25.06 yuan [5] Financial Summary - For 2023, the company expects total revenue of 41.487 billion yuan, with a year-on-year growth of 12.0%. The net profit is projected at 4.789 billion yuan, reflecting a significant year-on-year increase of 54.7% [6] - The company’s gross margin is expected to improve from 19.8% in 2023 to 28.2% by 2026, indicating a positive trend in profitability [8] - The company’s net asset return rate is projected to be 19.1% in 2024, slightly decreasing to 18.5% by 2026, which suggests stable financial performance [8]