FORYOU(SZ:002906) Huaan Securities·2024-10-29 17:00Investment Rating - The investment rating for Huayang Group is "Buy" (maintained) [1] Core Views - The company reported total revenue of approximately 2.648 billion yuan for Q3 2024, representing a year-on-year increase of 37.25% and a quarter-on-quarter increase of 20.21% [1] - The net profit attributable to the parent company was approximately 178 million yuan, showing a year-on-year growth of 53.54% and a quarter-on-quarter growth of 22.89% [1] - The gross profit margin was approximately 21.06%, a decrease of 0.82 percentage points year-on-year and 0.88 percentage points quarter-on-quarter [1] - The company is benefiting from strong sales of new and existing cooperative vehicle models, with major clients such as Xiaomi, Ideal, Chery, Geely, and others showing significant sales growth [1] - The company is expanding its automotive electronics products and precision die-casting business, with notable progress in international market penetration [1] Financial Performance Summary - Revenue projections for 2024-2026 have been adjusted to 9.73 billion, 12.51 billion, and 14.73 billion yuan respectively, with corresponding net profits of 673 million, 927 million, and 1.145 billion yuan [2][3] - The expected P/E ratios for 2024-2026 are 24.06, 17.46, and 14.13 respectively [2][4] - The company’s gross margin is projected to be 21.8% in 2024, with a gradual increase to 22.3% by 2026 [4] - The return on equity (ROE) is expected to rise from 10.5% in 2024 to 15.0% in 2026 [4] Market Position and Strategy - The company is strategically positioned to capitalize on the electric and intelligent vehicle market trends, with a focus on automotive electronics and precision die-casting as its two core segments [1] - The company has successfully secured new projects with major automotive clients, enhancing its customer structure and optimizing its revenue streams [1]