TJSMW(600577) 甬兴证券·2024-12-29 01:59Investment Rating - The report gives Jingda Co Ltd (600577) an "Overweight" rating, indicating a positive outlook on the company's stock performance relative to the benchmark index [24] Core Views - Jingda is a global leader in electromagnetic wire, with products widely used in new energy vehicles, photovoltaics, AI, military, aerospace, home appliances, special motors, 5G communications, and electronics [5] - The company has three major production bases in the Yangtze River Delta, Pearl River Delta, and Bohai Rim regions [5] - Revenue grew from RMB 11.898 billion in 2018 to RMB 17.906 billion in 2023, with a CAGR of 8.52% [5] - Q1-Q3 2024 revenue reached RMB 16.087 billion, up 22.38% YoY, with net profit attributable to shareholders of RMB 416 million, up 33.84% YoY [5] Market Position and Expansion - Jingda holds a 12.09% market share in China's enameled wire market, ranking first [5] - The company plans to issue convertible bonds to raise RMB 1.126 billion for expansion projects, including 40,000 tons of new energy copper-based electromagnetic wire and 80,000 tons of new energy copper materials [5] Subsidiary Performance - Hengfeng Special Conductor, a subsidiary, supplies to Amphenol, Lotes, and others, benefiting from the trend of high-speed copper connection technology in data centers [5] - Hengfeng's H1 2024 revenue was RMB 549 million, up 42.32% YoY, with net profit of RMB 34.3713 million, up 23.71% YoY [5] Superconductivity Business - Jingda is the largest shareholder of Shanghai Superconductor, which focuses on second-generation high-temperature superconducting tapes [12] - Shanghai Superconductor's Phase I expansion plan is progressing smoothly, with full production expected by the end of 2024 [12] - The company has established Tongling Jingda Superconducting Materials Research Institute, indicating potential synergies in the superconducting business [12] Financial Projections - Revenue is expected to grow to RMB 20.979 billion in 2024, RMB 23.535 billion in 2025, and RMB 26.142 billion in 2026 [24] - Net profit attributable to shareholders is projected to be RMB 547 million in 2024, RMB 678 million in 2025, and RMB 825 million in 2026 [24] - EPS is forecasted to be RMB 0.26 in 2024, RMB 0.32 in 2025, and RMB 0.39 in 2026 [24]