CICC(601995) 申万宏源证券·2025-03-29 12:50Investment Rating - The report upgrades the investment rating to "Buy" for the company [6] Core Views - The company's 4Q24 performance exceeded expectations, driven by strong investment income and brokerage services, with a significant year-on-year increase in net profit for the quarter [6] - The company has maintained a leading position in the cross-border M&A market, completing numerous transactions and achieving substantial financing in the Hong Kong and U.S. markets [6] - Wealth management assets have shown consistent growth, with a focus on increasing client asset retention [6] - The company’s financial investment assets have expanded, with a notable increase in other debt investments [6] - The earnings forecast for 2025-2027 has been raised, reflecting improved market conditions and trading volumes [6] Financial Data and Profit Forecast - 2024 revenue is projected at 213.3 billion yuan, a decrease of 7.2% year-on-year, with a net profit of 56.9 billion yuan, down 7.5% [2] - The company expects revenue growth of 19.49% in 2025, with net profit anticipated to rise by 31.96% [2][7] - The projected earnings per share for 2025 is 1.48 yuan, with a P/E ratio of 23.50 [2][7] Business Performance - In 4Q24, the company achieved a record high in quarterly performance, with securities revenue reaching 78.4 billion yuan, a year-on-year increase of 43% [6] - The brokerage segment saw a remarkable 115% increase in revenue compared to the previous quarter [6] - The company completed 73 M&A transactions in 2024, maintaining its top position in the Chinese market for the tenth consecutive year [6] Market Position - The company ranked 1st in the Hong Kong IPO market and 3rd in domestic refinancing underwriting in 2024 [6] - The company has a market capitalization of approximately 101.86 billion yuan [3]