Tuopu Group(SH:601689) Tianfeng Securities·2024-10-29 09:03Investment Rating - The report maintains a "Buy" rating for the company with a target price indicating an expected return of over 20% within the next six months [5][14]. Core Insights - The company reported a significant year-on-year revenue increase of 36.75% for the first three quarters of 2024, reaching 19.352 billion yuan, with a net profit of 2.234 billion yuan, up 39.89% [1]. - The company's internationalization efforts are accelerating, with ongoing collaborations with various domestic and international automotive companies in the new energy vehicle sector [2][3]. - The company is expanding its production capacity both domestically and internationally, with new factories coming online and ongoing construction projects [3]. Financial Performance Summary - For Q3 2024, the company achieved a revenue of 7.13 billion yuan, representing a year-on-year increase of 42.85% and a net profit of 778 million yuan, up 54.63% [1]. - The gross margin for Q3 2024 was 20.88%, slightly down from the previous year, while the net margin improved to 10.96% [1]. - The company’s operating expenses (excluding R&D) were 3.99% of revenue, showing a decrease compared to the previous year [2]. Market Position and Growth Potential - The company is experiencing strong sales growth from downstream customers, with increasing per-vehicle revenue contributing to sustained profitability [2][4]. - The company’s net profit forecasts for 2024-2026 are 2.938 billion, 3.839 billion, and 4.862 billion yuan, respectively, indicating a robust growth trajectory [3][7]. - The company’s current market valuation corresponds to P/E ratios of 27, 20, and 16 for 2024-2026, suggesting potential for further appreciation [3][7].