CSICPCL(600482)2025-03-09 08:24Investment Rating - The report initiates coverage with a "Buy" rating for the company [7][8]. Core Views - The company is positioned as a leading player in the domestic marine power equipment sector, benefiting from a rising shipbuilding cycle and increasing demand for low-speed engines [7][20]. - The company is expected to open a second growth curve by extending its business from manufacturing to maintenance and design, leveraging its strong market position and technological foundation [7][8]. - The report highlights the potential for significant revenue growth from maintenance services, estimating an annual contribution of approximately 19.5 billion yuan if the maintenance business covers all self-produced engines [7][8]. Summary by Sections Company Overview - The company is a subsidiary of China Shipbuilding Group and has undergone multiple asset integrations to expand its power business, which now includes various power sectors such as gas, steam, and nuclear power [20][21]. - The company has a strong market share in low-speed marine engines, with a focus on high-value dual-fuel technology driven by stricter environmental regulations [7][20]. Market Dynamics - The global ship fleet's average age is increasing, with replacement demand still robust, indicating a favorable market environment for the company [7][10]. - Current ship prices are only at 65% of the previous cycle's peak, suggesting significant upward potential [7][10]. Financial Performance and Forecast - The company’s revenue is projected to grow from 45.1 billion yuan in 2023 to 58.7 billion yuan by 2026, with a compound annual growth rate of 13.4% [6]. - The net profit attributable to shareholders is expected to rise from 779 million yuan in 2023 to nearly 3 billion yuan by 2026, reflecting a strong growth trajectory [6][8]. Valuation and Target Price - The report estimates a reasonable market capitalization of approximately 70.8 billion yuan for 2025, with a target price range of 30.39 to 36.07 yuan per share under optimistic scenarios [8][10].