Enpower(SZ:300681) Huajin Securities·2024-10-23 14:43Investment Rating - The report assigns an investment rating of AA/AA to the company and its convertible bond issuance [7][8]. Core Insights - The company, Yingboer, is a leading supplier of power systems for electric vehicles, with a focus on innovation and integration in its product offerings [11][14]. - The convertible bond issuance is sized at 817 million yuan, with a maturity of 6 years and a conversion price set at 17.57 yuan, offering a relatively high compensation rate of 8% [7][8]. - The company has a strong market position, with significant partnerships with major automotive manufacturers and a growing presence in the electric vehicle sector [11][14]. Summary by Sections Convertible Bond Analysis - The bond's pure debt value is calculated at 98.04 yuan, with a yield to maturity (YTM) of 2.41%, indicating sufficient debt protection [7][8]. - The total dilution rate for the company's shares is 15.56%, with a circulation dilution rate of 21.19%, suggesting some dilution pressure [7][8]. Company Overview - Yingboer has been focused on the electric vehicle power system sector for nearly two decades, developing a range of products that include motor controllers and power assemblies [11][14]. - The company has established long-term collaborations with various automotive manufacturers, enhancing its market competitiveness [11][14]. Industry Analysis - The electric vehicle market in China has shown robust growth, with production and sales increasing significantly year-on-year, indicating a strong potential market for Yingboer's products [14][15]. - The company is well-positioned to benefit from the ongoing transition towards electric vehicles, with a focus on high-quality, cost-effective solutions [14][15]. Financial Performance - For the first half of 2024, the company reported a revenue of 1.023 billion yuan, a year-on-year increase of 42.06%, and a net profit of 35 million yuan, up 218.48% [20][22]. - The company's operating cash flow has improved significantly, reflecting better sales and efficient receivables management [23][24]. Valuation Performance - As of October 22, 2024, the company's price-to-earnings (PE) ratio stands at 30.58, which is above the industry average, indicating a high valuation elasticity [26][27]. - The company's stock has outperformed the industry index, with a decline of only 7.75% compared to an 11.69% drop in the industry index [26][27]. Fundraising Project Analysis - The funds raised will be allocated to the construction of an automated workshop for electric vehicle powertrains and to supplement working capital, supporting the company's growth and operational needs [31][32].