HUATIE(SH:603300) EBSCN·2025-06-05 10:15Investment Rating - The report maintains a "Buy" rating for Hainan Huatie [3][5] Core Views - The company plans to accelerate its internationalization strategy by issuing shares overseas and listing on the Singapore Exchange, aiming to enhance its core competitiveness and brand influence [1] - Singapore is recognized as a leading hub for AI infrastructure, scoring 8.91, which is higher than South Korea's 7.71 and the UK's 6.93, making it an ideal location for the company's overseas expansion [1] - The company is expected to achieve net profits of 848 million, 1.202 billion, and 1.523 billion yuan for the years 2025 to 2027, respectively, indicating a strong growth trajectory [3][4] Financial Projections - Revenue is projected to grow from 4.444 billion yuan in 2023 to 9.690 billion yuan in 2027, with a compound annual growth rate (CAGR) of approximately 18.68% [4][8] - The net profit is expected to fluctuate, with a decrease in 2024 to 605 million yuan, followed by a recovery to 848 million yuan in 2025 [4][8] - The earnings per share (EPS) is forecasted to increase from 0.41 yuan in 2023 to 0.77 yuan in 2027 [4][10] Valuation Metrics - The price-to-earnings (P/E) ratio is projected to decrease from 25 in 2023 to 13 in 2027, indicating a potentially undervalued stock as earnings grow [4][11] - The price-to-book (P/B) ratio is expected to decline from 3.6 in 2023 to 2.1 in 2027, suggesting improving valuation attractiveness [4][11] Market Context - Singapore is noted for its favorable regulatory environment for cryptocurrencies, ranking fourth globally in terms of regulatory friendliness, which may benefit the company's strategic initiatives in the digital asset space [2]