Anji Technology(SH:688019) Huachuang Securities·2024-11-04 17:07Investment Rating - The report maintains a "Strong Buy" rating for the company, with a target price of 194.4 CNY, compared to the current price of 156.90 CNY [1]. Core Views - The company achieved significant revenue and profit growth in Q3 2024, driven by new product launches and an increase in market share. The revenue for Q3 2024 reached 515 million CNY, representing a year-on-year increase of 59.29% and a quarter-on-quarter increase of 22.95% [2]. - The gross margin improved to 59.86%, marking a historical high for a single quarter, while the net profit margin increased to 30.79% [2]. - The semiconductor industry is experiencing a cyclical recovery, with rising demand for CMP polishing liquids due to increased wafer fab utilization rates and ongoing capacity expansions [2]. - The company is focused on independent research and development to build core competitive advantages and expand its product line in the semiconductor materials sector [2]. Financial Summary - For the first three quarters of 2024, the company reported total revenue of 1.312 billion CNY, a year-on-year increase of 46.10%. The net profit attributable to the parent company was 393 million CNY, reflecting a year-on-year increase of 24.46% [1]. - The projected financials for 2024-2026 show an increase in net profit from 547 million CNY in 2024 to 851 million CNY in 2026, with corresponding EPS rising from 4.24 CNY to 6.59 CNY [3]. - The company’s total revenue is expected to grow from 1.828 billion CNY in 2024 to 2.672 billion CNY in 2026, with a compound annual growth rate of approximately 17.2% [3].