LZLJ(000568)2025-05-15 10:30Investment Rating - The report maintains an "OUTPERFORM" rating for Luzhou Laojiao with a target price of RMB 205.00, while the current price is RMB 130.14 [2][8][14]. Core Insights - The report highlights three favorable factors for the Chinese stock market, including continuous policy dividends, accelerated return of international capital, and recovery of economic fundamentals, which have positively impacted the allocation of Baijiu stocks [3][10]. - Luzhou Laojiao has shown resilience during the industry adjustment period, with a focus on steady revenue growth and a significant increase in the share of mid- to high-end products [11][12]. - The company has achieved a compound annual growth rate (CAGR) of 18.3% in total revenue and 27.9% in net profit from 2015 to 2024, maintaining positive growth for ten consecutive years [12][13]. Financial Performance Summary - For the fiscal year 2024, the company reported revenue of RMB 31.196 billion and a net profit of RMB 13.473 billion, with expectations for continued growth in the following years [4][9]. - The gross profit margin has increased significantly, reaching 87.5% in 2024, benefiting from the higher proportion of mid- to high-end products [13]. - The company has committed to a dividend payout ratio of 65% for 2024, with plans to increase it to 70% and 75% in subsequent years, ensuring strong shareholder returns [14].