SERES(SH:601127) Huaxin Securities·2024-11-07 14:07Investment Rating - The report maintains a "Buy" investment rating for the company [2][3] Core Views - The company has demonstrated impressive performance with significant revenue growth driven by the sales of its high-end passenger vehicle brand, Wanjie [1][2] - The company achieved a revenue of 41.582 billion yuan in Q3 2024, representing a year-on-year increase of 636.3% and a quarter-on-quarter increase of 8.1% [1] - The net profit attributable to shareholders for Q3 2024 was 2.413 billion yuan, up 354.1% year-on-year and 71.8% quarter-on-quarter [1] - The gross profit margin for Q3 2024 was 25.5%, reflecting strong profitability despite a slight quarter-on-quarter decline due to changes in accounting policies [1] Revenue and Profitability - The company’s revenue for the first three quarters of 2024 reached 106.627 billion yuan, a year-on-year increase of 539.2% [1] - The net profit attributable to shareholders for the first three quarters of 2024 was 4.04 billion yuan, up 276.0% year-on-year [1] - The company’s gross profit margin improved by 18.0 percentage points year-on-year [1] Sales Performance - The Wanjie series delivered 108,300 vehicles in Q3 2024, a year-on-year increase of 561.1% [1] - As of October 26, 2024, the Wanjie M9 model has achieved over 160,000 pre-orders, ranking first in sales among models priced above 500,000 yuan [1] Future Earnings Forecast - The company is projected to generate revenues of 140.3 billion yuan, 186 billion yuan, and 203.1 billion yuan for the years 2024, 2025, and 2026, respectively [4][5] - The earnings per share (EPS) are forecasted to be 3.8 yuan, 4.6 yuan, and 5.1 yuan for the years 2024, 2025, and 2026, respectively [4][5] - The current stock price corresponds to price-to-earnings (PE) ratios of 35, 30, and 27 for the years 2024, 2025, and 2026, respectively [1][4]