CPEC(600339) EBSCN·2024-11-14 03:30Investment Rating - The report maintains a "Buy" rating for the company [6]. Core Views - The equity structure has been optimized with the transfer of 463 million A-shares from China National Petroleum Corporation (CNPC) to Sinopec National Investment, enhancing strategic cooperation and long-term development prospects for the company [2][4]. - The company has achieved significant contract signing results, with a total of 94.263 billion yuan in new contracts signed in the first three quarters of 2024, representing a year-on-year increase of 17.62% [3]. - The company is expected to benefit from new opportunities in both domestic and international markets, particularly under the "Belt and Road" initiative, which will support its oil and gas engineering business [4]. Summary by Sections Equity Structure - After the share transfer, CNPC will hold approximately 45.99% of the company's total shares directly and 17.91% indirectly, while Sinopec National Investment will become the third-largest shareholder with 8.30% [2]. Market Performance - The company signed new contracts worth 94.263 billion yuan in the first three quarters of 2024, with domestic contracts accounting for 75.50% and international contracts 24.50% [3]. Future Outlook - The company is projected to benefit from increased upstream capital expenditure of 213 billion yuan in 2024, supporting its oil and gas field engineering business [4]. - The refining and chemical engineering market is expected to present new opportunities, particularly with the growth of Saudi Aramco's refining capital expenditure by 10.8% in 2023 [4]. Financial Projections - The company forecasts net profits of 853 million yuan, 966 million yuan, and 1.083 billion yuan for 2024, 2025, and 2026 respectively, with corresponding EPS of 0.15, 0.17, and 0.19 yuan per share [4][5].