DSBJ(SZ:002384) CMS·2025-05-14 01:05Investment Rating - The report maintains a "Strong Buy" investment rating for the company [2][6]. Core Views - The company plans to acquire 100% of the French GMD Group, which is expected to accelerate its global capacity and automotive electronics business layout [6]. - The acquisition is valued at approximately €100 million and will involve a diversified debt restructuring plan [6]. - GMD Group is a leading automotive electronics manufacturer in France, with revenues exceeding €1 billion and a focus on parts for passenger and commercial vehicles [6]. - The acquisition is anticipated to enhance the company's market share in the automotive parts sector and establish a presence in Europe, leveraging GMD's influence to expand its global automotive client base [6]. - The company expects significant profit elasticity from the acquisition due to debt restructuring benefits and improving operational trends in GMD's business [6]. - The report highlights potential growth driven by AI-related upgrades in products for key clients and a recovery in demand for new energy vehicles [6]. Financial Data and Projections - The company forecasts revenue growth from ¥336.51 billion in 2023 to ¥498.31 billion in 2027, with a compound annual growth rate (CAGR) of approximately 10% [7][15]. - The projected net profit is expected to increase from ¥19.65 billion in 2023 to ¥43.81 billion in 2027, reflecting a significant recovery after a dip in 2024 [7][15]. - Earnings per share (EPS) are projected to rise from ¥1.15 in 2023 to ¥2.57 in 2027, indicating a strong growth trajectory [7][15]. - The report anticipates a decrease in the company's debt-to-asset ratio from 59% in 2023 to 45.6% in 2027, suggesting improved financial stability [15]. Market Performance - The company's stock has shown a 20% increase over the past month, while it has experienced a 4% decline over the past six months, and an 84% increase over the past year [4]. - The current stock price is ¥28.49, with a market capitalization of ¥48.6 billion [2].