Shanghai YanPu(605128) 浙商证券·2024-10-27 05:23Investment Rating - The investment rating for the company is "Buy" [4] Core Views - The company is a leading domestic automotive seat frame manufacturer, and its platform transformation opens up growth opportunities, with expected increases in unit value and market share driving performance beyond expectations [2][3] - The domestic automotive seat market is projected to reach a scale of 150 billion yuan by 2026, with a significant space for domestic substitution, as the top five players hold over 70% market share, primarily foreign or foreign-related [2] - The company has successfully initiated a platform transformation, with new partnerships expected to generate approximately 2.269 billion yuan in revenue over five years [3] Summary by Sections Financial Forecast - Revenue for 2024, 2025, and 2026 is projected to be 2.388 billion yuan, 2.982 billion yuan, and 3.731 billion yuan, respectively, with year-on-year growth rates of 57.3%, 24.9%, and 25.1% [5] - Net profit attributable to the parent company is expected to be 164 million yuan, 251 million yuan, and 359 million yuan for the same years, with growth rates of 80.4%, 52.5%, and 43.3% [5] - The company’s P/E ratios for 2024, 2025, and 2026 are projected to be 25, 16, and 11, respectively [5] Market Position - The current P/E valuation of the company is 16 times, compared to an average of 20 times for comparable companies, indicating significant upside potential [2] - The company has secured supply qualifications for high-speed train seats and is preparing for mass production, with expected revenue contributions starting from 2025 [2][3] Growth Catalysts - Future catalysts include new customer contracts for seat frames, performance reports, and potential extensions along the supply chain [2]