SONAVOX(688533) 东方证券·2024-11-03 03:13Investment Rating - The report maintains a Buy rating for the company with a target price of 46.48 CNY [2][5] Core Views - The company's Q3 performance exceeded market expectations, with revenue reaching 7.56 billion CNY, a year-on-year increase of 20.1%, and net profit attributable to the parent company of 0.78 billion CNY, a year-on-year increase of 116.9% [1] - Gross margin improved significantly in Q3, reaching 28.8%, up 4.0 percentage points year-on-year and 3.9 percentage points quarter-on-quarter, driven by stable raw material prices such as rare earths [1] - The company has expanded its customer base in the new energy vehicle sector, securing projects with major clients like Tesla (T client) and Mercedes-Benz (M client), which are expected to drive future revenue growth [1] - The company is advancing the construction of its Hefei factory, which is expected to add significant production capacity, including 12 million low-frequency speakers, 6 million mid-frequency speakers, and 1.8 million electronic products annually [1] Financial Performance - Revenue for the first three quarters of 2023 was 19.94 billion CNY, a year-on-year increase of 25.2%, with net profit attributable to the parent company of 1.90 billion CNY, up 76.9% year-on-year [1] - Operating cash flow for the first three quarters was 1.96 billion CNY, a year-on-year decrease of 6.2% [1] - The company's EPS for 2024-2026 is forecasted to be 1.66 CNY, 2.14 CNY, and 2.77 CNY, respectively, with a target price of 46.48 CNY based on a 28x PE ratio for 2024 [2] Industry and Market Performance - The company's stock price as of November 1, 2024, was 33.81 CNY, with a 52-week high/low of 49.76 CNY and 20.18 CNY, respectively [5] - The company's market capitalization is 5.41 billion CNY, with a total of 160 million shares outstanding [5] - The company's stock has shown strong performance over the past three months, with a 42.9% increase in absolute terms and 29.13% relative to the CSI 300 index [6] Future Outlook - The company is expected to benefit from the growth of new energy vehicle clients, with revenue projected to grow from 2.33 billion CNY in 2023 to 4.57 billion CNY in 2026 [4] - Gross margin is expected to remain stable at around 26.5% from 2024 to 2026, with net profit margin increasing from 6.8% in 2023 to 9.7% in 2026 [4] - The company's ROE is forecasted to improve from 13.2% in 2023 to 21.7% in 2026, driven by increased profitability and operational efficiency [4]