EAGLERISE(CHINA)(SZ:002922) Soochow Securities·2024-10-31 07:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Insights - In Q3 2024, the company's revenue increased by 26% year-on-year, but the net profit attributable to shareholders decreased by 55%, falling short of market expectations [2] - The decline in profit margins was attributed to price reductions from major clients, as well as losses from freight and exchange rates [3] - The company anticipates a recovery in shipments and revenue in Q4 due to the seasonal demand and new orders from major clients [4] - The profit forecasts for 2024-2026 have been revised downwards due to unexpected price cuts from downstream clients, with net profits projected to be 332 million, 441 million, and 543 million respectively [4] Financial Performance Summary - Total revenue for 2023 is projected at 3,630 million, with a year-on-year growth of 28.68%. For 2024, revenue is expected to reach 4,381 million, reflecting a growth of 20.68% [11] - The net profit attributable to shareholders for 2023 is estimated at 209 million, with a growth of 9.34%. For 2024, it is expected to increase to 332 million, representing a growth of 58.61% [11] - The latest diluted EPS is projected to be 0.85 for 2024, with a P/E ratio of 20.76 [11][12] Market Data - The closing price of the stock is 17.58, with a market capitalization of approximately 6,893.51 million [7] - The company has a price-to-book ratio of 2.18 and a total asset-liability ratio of 53.91% [8]