Zhejiang Rongtai(603119) ZHESHANG SECURITIES·2025-02-16 02:23Investment Rating - The investment rating for the company is "Buy" [3] Core Views - The company plans to acquire 51% of Diz Precision, entering the screw rod sector and extending its industrial chain [1] - The company has nearly 10 billion in mica projects, with strong growth in mica business and ongoing capacity expansion in multiple regions [2] - The acquisition is expected to enhance the company's growth in humanoid robot components, leveraging existing relationships with major clients like Tesla [2] Summary by Sections Acquisition and Market Entry - The company signed a framework agreement to acquire a majority stake in Diz Precision, which specializes in precision screw products, aiding entry into emerging fields like precision transmission and intelligent equipment [1] Business Growth and Product Expansion - The mica business is experiencing high growth with nearly 10 billion in orders, and the company is expanding production capacity in locations such as Hunan, Vietnam, Mexico, and Thailand [2] - Non-mica products have begun mass production, with applications extending into high-growth areas like humanoid robots and flying cars [2] Financial Forecast and Valuation - Revenue projections for 2024-2026 are 1.09 billion, 1.56 billion, and 2.14 billion respectively, with year-on-year growth rates of 36.1%, 43.0%, and 37.7% [3] - Net profit forecasts for the same period are 231 million, 337 million, and 476 million, with corresponding growth rates of 34.4%, 46.0%, and 41.4% [3] - The company maintains a strong market position in the new energy vehicle mica materials sector, with a solid order backlog and high growth potential [3]