YYTH(600096) 群益证券·2025-01-08 07:23Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for its stock performance [8][3]. Core Insights - The company is expected to achieve a net profit of 5.3 billion RMB in 2024, representing a year-on-year increase of 17.20%, with Q4 net profit projected at 876 million RMB, up 7% year-on-year [8]. - The company benefits from a strong integrated business model, leveraging its phosphate and coal resources, which supports its competitive position in the market [8]. - The report highlights the company's focus on core business areas, leading to growth in production and sales of key products, while also benefiting from declining raw material costs [8]. - The company is positioned to benefit from ongoing industry upgrades and favorable government policies aimed at enhancing the phosphate chemical sector [8]. - The dividend payout ratio is expected to remain high, with a projected yield of 5.51% based on the stock price as of January 7, 2025 [8]. Company Overview - The company operates primarily in the chemical industry, with a market capitalization of 39.93 billion RMB and a share price of 21.77 RMB as of January 7, 2025 [2]. - The major shareholder is Yuntianhua Group, holding 38.12% of the shares [2]. - The company has a diversified product portfolio, with fertilizers accounting for 46.3% of its revenue, followed by the trading industry at 43.5% [4]. Financial Performance - The company reported a net profit of 6.02 billion RMB in 2022, which decreased to 4.52 billion RMB in 2023, but is expected to rebound to 5.3 billion RMB in 2024 [10]. - The earnings per share (EPS) for 2024 is projected at 2.89 RMB, with a low price-to-earnings (P/E) ratio of 8, indicating undervaluation [10][8]. - The company has been reducing its debt levels, with a debt-to-asset ratio of 52.51% as of Q3 2024, down from previous years [8].