lolo(SZ:000848) Orient Securities·2025-04-28 09:32Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 11.73 CNY based on a reasonable valuation level of 17 times the earnings for 2025 [2][11][5]. Core Insights - The company achieved a revenue of 3.29 billion CNY in 2024, representing a year-on-year growth of 11.3%, and a net profit of 666 million CNY, up 4.4% year-on-year [10]. - The almond milk segment showed steady growth, with revenue reaching 3.19 billion CNY in 2024, an increase of 11.4% year-on-year, driven by improved penetration in the northwest region [10]. - The company is expected to benefit from lower raw material costs in 2025, leading to a significant increase in gross margin, projected at 48.1% in Q1 2025, up 4.4 percentage points year-on-year [10]. Financial Summary - Revenue Forecast: The company is projected to generate revenues of 3.36 billion CNY in 2025, 3.57 billion CNY in 2026, and 3.75 billion CNY in 2027, with respective growth rates of 2.3%, 6.1%, and 5.1% [4]. - Net Profit: The net profit is expected to reach 726 million CNY in 2025, 787 million CNY in 2026, and 831 million CNY in 2027, with growth rates of 8.9%, 8.5%, and 5.6% respectively [4]. - Earnings Per Share (EPS): EPS is forecasted to be 0.69 CNY in 2025, 0.75 CNY in 2026, and 0.79 CNY in 2027 [4][11]. - Gross Margin: The gross margin is expected to improve to 43.5% in 2025, with a slight increase to 43.6% in the following years [4]. Market Performance - The company's stock price as of April 25, 2025, was 9.92 CNY, with a 52-week high of 10.31 CNY and a low of 6.73 CNY [5]. - The company has shown strong absolute performance over various time frames, including a 14.29% increase over the past three months [6].