Hundsun(600570) 兴业证券·2025-01-14 03:05Investment Rating - The report maintains an "Accumulate" rating for the company [1] Core Insights - The company is a leading player in the fintech industry, with a long-term stable performance and a strong market position in financial technology solutions [5][30] - The company has a high market share in the securities IT sector, with ongoing iterations of its products to adapt to the evolving market needs [30][41] - The company is well-positioned in the asset management IT sector, leveraging AI to drive technological transformation [30][40] - The earnings forecast has been adjusted, with expected net profits for 2024-2026 at 14.43 billion, 16.39 billion, and 19.30 billion respectively, reflecting growth rates of 1.3%, 13.6%, and 17.7% [3][4] Summary by Sections 1. Fintech Industry Leader with Long-Term Stability - The company has been deeply engaged in the fintech sector for nearly three decades, achieving a leading position in the Asian market according to IDC rankings [5] - The company has maintained a compound annual growth rate (CAGR) of 19.25% in revenue and 20.14% in net profit from 2003 to 2023 [3][5] - The company’s software product sales accounted for 98.39%, 97.84%, and 99.86% of revenue from 2021 to 2023, with gross margins of 72.99%, 73.56%, and 74.84% respectively [3][5] 2. High Market Share in Securities IT with Continuous Product Iteration - The company holds approximately 50% market share in core trading systems for securities firms, benefiting from industry consolidation and product innovation [30][34] - The company has a strong presence among mid to large-sized securities firms, with 71% of major mergers involving the company as a core system supplier [36][37] - The company has launched the UF3.0 system, which is fully compatible with new technology requirements, and has successfully implemented it in several major firms [30][34] 3. Strong Position in Asset Management IT with AI-Driven Innovation - The company leads in the fund investment management system market, with a high client retention rate [30] - The company has developed the O45 system, which is fully compatible with new technology standards and has established partnerships with over 100 asset management institutions [30] - The company has introduced its AI model, LightGPT, to enhance its product offerings in the financial sector [30][40] 4. Earnings Forecast and Investment Recommendations - The company’s net profit forecasts for 2024, 2025, and 2026 are 14.43 billion, 16.39 billion, and 19.30 billion respectively, with corresponding price-to-earnings ratios of 32.7, 28.8, and 24.4 [3][4] - The report maintains an "Accumulate" rating based on the company's strong market position and growth potential [1][4]