SCG(600170) 国泰君安·2024-11-18 23:45Investment Rating - The investment rating for Shanghai Construction (600170) is "Accumulate" with a target price of 4.20 CNY, up from the previous forecast of 3.05 CNY [5][10]. Core Views - Shanghai Construction is a leader in the construction industry in Shanghai and is expected to benefit from the market value management policies introduced by the China Securities Regulatory Commission (CSRC) and the ongoing state-owned enterprise reform in Shanghai [3][10]. Financial Summary - The total revenue for 2024 is projected to be 330.33 billion CNY, reflecting an 8.4% increase from 2023 [11]. - The net profit attributable to shareholders for 2024 is expected to be 1.73 billion CNY, representing an 11% increase from 2023 [11]. - Earnings per share (EPS) for 2024 is forecasted at 0.19 CNY, with subsequent increases to 0.21 CNY in 2025 and 0.23 CNY in 2026 [10][11]. - The net profit margin for 2024 is projected to be 0.63%, a slight increase from 0.58% in 2023 [10]. Market Data - The current market price is 2.83 CNY, with a 52-week price range of 1.89 to 2.83 CNY [6]. - The total market capitalization is approximately 25.15 billion CNY [6]. Order and Revenue Trends - New signed contracts for the first three quarters of 2024 totaled 277.8 billion CNY, a decrease of 9.2% year-on-year [10]. - The construction segment saw a decline in new contracts by 5.4%, totaling 231.4 billion CNY [10][17]. Regulatory Environment - The CSRC has issued guidelines aimed at enhancing the quality of listed companies, which is expected to positively impact the valuation of companies like Shanghai Construction [10].