OKE(688308) 华创证券·2024-11-03 16:13Investment Rating - The report maintains a "Strong Buy" rating for the company with a target price of 25.2 CNY, compared to the current price of 18.48 CNY [1]. Core Views - The company's Q3 performance met expectations, with a revenue of 316 million CNY, a year-on-year increase of 16.08%, while net profit decreased by 41.85% [1]. - The growth in hard alloy products and slight increase in CNC tool revenue are notable, with hard alloy products achieving a revenue of 388 million CNY, up 17.92% year-on-year [1]. - The recovery in manufacturing is anticipated to boost demand for tools, with domestic products expected to gain market share due to competitive pricing and product upgrades [1]. - The company is expanding its end-user layout and broadening application scenarios for comprehensive solutions, targeting sectors like automotive, aerospace, and wind energy [1]. - The overseas market shows significant potential, with exports growing by 44.2% year-on-year, driven by the competitive pricing of domestic tools [1]. Financial Summary - For the first three quarters of 2024, the company reported total revenue of 895 million CNY, an 11.22% increase year-on-year, and a net profit of 90 million CNY, a decrease of 43.70% [1]. - Revenue projections for 2024-2026 are adjusted to 1.195 billion CNY, 1.513 billion CNY, and 1.853 billion CNY respectively, with net profits expected to be 121 million CNY, 200 million CNY, and 275 million CNY [2][6]. - The earnings per share (EPS) are forecasted to be 0.76 CNY, 1.26 CNY, and 1.73 CNY for 2024, 2025, and 2026 respectively [2][6].