Chuanhuan Technology(300547) 东兴证券·2024-12-11 10:02Investment Rating - The report maintains a "Recommend" rating for Chuanhuan Technology (300547 SZ) [3] Core Views - The impact of high temperatures in Q3 2024 has gradually dissipated, and the company's order intake has returned to normal [1] - Chuanhuan Technology has successfully expanded its customer base, securing new clients in the automotive, energy storage, and liquid cooling server sectors [2] - The company's strong R&D capabilities and cost control measures have resulted in high gross and net profit margins in Q3 2024 (25 51% and 16 54% respectively) [3] - The energy storage and liquid cooling server markets are identified as promising new application areas for the company's rubber and plastic pipeline products [2] Financial Performance and Projections - Q3 2024 revenue growth slowed to 3 7%, significantly lower than Q1 and Q2 growth rates of 45 8% and 33 7% respectively [1] - The company's revenue is projected to grow from 1,451 69 million yuan in 2024E to 2,344 36 million yuan in 2026E, representing a compound annual growth rate of 27 49% [4] - Net profit attributable to the parent company is expected to increase from 208 17 million yuan in 2024E to 334 84 million yuan in 2026E [4] - The company's ROE is forecasted to improve from 17 39% in 2024E to 22 19% in 2026E [4] Business Development - In the automotive pipeline sector, the company has secured a designated project for the Zunjie model, a collaboration between Huawei and Jianghuai, and is involved in the development of related pipelines for the Zhijie model [2] - In the energy storage sector, the company has entered the supply chains of major clients including Guoxuan High-Tech, BYD, Times Star Cloud, Singularity Technology, Suzhou Beiren, and Hangdian Micro [2] - In the liquid cooling server sector, the company has expanded its supplier network to include Xunqiang, Xingqihong, Feirongda, and Envicool, following its initial success with Customer No 1 [2] - The company's liquid cooling pipeline system technology has obtained UL certification in the United States [2] Valuation Metrics - The company's PE ratio is projected to decrease from 21x in 2024E to 13x in 2026E [4] - The PB ratio is expected to decline from 3 68x in 2024E to 2 92x in 2026E [4] - EPS is forecasted to grow from 0 96 yuan in 2024E to 1 54 yuan in 2026E [4] Market Performance - The company's 52-week stock price range is between 12 36 yuan and 22 79 yuan [5] - As of the report date, the company has a total market capitalization of 4 327 billion yuan and a circulating market capitalization of 3 556 billion yuan [5]