CAIP(603035) 华创证券·2024-10-28 04:12Investment Rating - The report assigns a "Recommendation" rating to the company, with a target price of 16.8 CNY, compared to the current price of 14.93 CNY, indicating a potential upside of 12% [1]. Core Insights - The company reported a revenue growth in Q3 2024, with a total revenue of 1.4 billion CNY, representing a year-on-year increase of 10% and a quarter-on-quarter increase of 3.8%. However, the growth rate has slowed compared to Q2 2024 [1]. - The net profit attributable to the parent company for Q3 2024 was 129 million CNY, down 16% year-on-year and 15% quarter-on-quarter. The company's profitability is under pressure due to lower-than-expected performance from major clients like BMW [1]. - The company is expected to benefit from a diversified customer base, with 32.5% of H1 2024 revenue coming from new energy vehicle sales, primarily supporting clients like Li Auto, BYD, and Tesla [1]. - The company is entering a new growth phase with plans for international expansion, having established relationships with major European automakers [1]. Financial Summary - Total revenue for 2023 is projected at 4.599 billion CNY, with expected growth rates of 25.5% in 2023, 17.7% in 2024, 16.4% in 2025, and 20.5% in 2026 [2]. - The net profit attributable to the parent company is forecasted to be 546 million CNY in 2023, with growth rates of 6.7% in 2023, 5.7% in 2024, 22.6% in 2025, and 30.5% in 2026 [2]. - The company’s price-to-earnings (P/E) ratio is projected to be 10 in 2023, decreasing to 6.1 by 2026, indicating a potentially undervalued stock [2].