FII(601138) Ping An Securities·2024-10-31 09:01Investment Rating - The report maintains a "Recommended" investment rating for the company [2][7]. Core Views - The company has achieved a record high revenue in Q3 2024, driven by strong demand for AI servers and continuous growth in cloud computing revenue [5][6]. - For the first three quarters of 2024, the company reported revenue of 436.37 billion yuan, a year-on-year increase of 32.71%, and a net profit attributable to shareholders of 15.14 billion yuan, up 12.28% year-on-year [4][5]. - The gross margin for the first three quarters was 6.82%, down 1.14 percentage points year-on-year, while the net margin was 3.47%, down 0.63 percentage points year-on-year [5]. Financial Performance Summary - In Q3 2024, the company achieved revenue of 170.28 billion yuan, representing a year-on-year increase of 39.53% and a quarter-on-quarter increase of 15.52%, marking a historical high [5][6]. - The net profit for Q3 2024 was 6.40 billion yuan, up 1.24% year-on-year and 40.58% quarter-on-quarter [5]. - The company’s cloud computing business revenue grew by 71% year-on-year, with AI server revenue increasing by 228%, accounting for 45% of total server revenue [6]. Earnings Forecast - The earnings per share (EPS) for 2024-2026 are projected to be 1.19 yuan, 1.39 yuan, and 1.60 yuan respectively, with corresponding price-to-earnings (P/E) ratios of 20.9X, 17.9X, and 15.5X based on the closing price on October 30 [7][12].