WST(SH:688122) Orient Securities·2025-06-06 00:25Investment Rating - The report maintains a "Buy" rating for the company [4] Core Views - The company's EAST large scientific device has achieved a key technology breakthrough in steady-state high-parameter plasma, winning the Anhui Provincial Science and Technology Progress Award [1] - The recovery in downstream demand and the advancement of nuclear fusion projects are expected to drive growth across various business segments [1] Financial Forecast and Investment Recommendations - Revenue and gross margin have been adjusted downward based on industry demand, with EPS for 2025 and 2026 revised to 1.60 and 1.97 yuan respectively, and a new EPS for 2027 set at 2.41 yuan [2] - The target price is set at 67.20 yuan, corresponding to a 42x PE for 2025, maintaining the "Buy" rating [2] Key Financial Information - Projected revenue (in million yuan) for 2023A to 2027E: 4,159, 4,612, 6,028, 7,337, 8,839, with growth rates of -1.6%, 10.9%, 30.7%, 21.7%, and 20.5% respectively [3] - Projected net profit attributable to the parent company (in million yuan) for 2023A to 2027E: 752, 801, 1,042, 1,282, 1,567, with growth rates of -30.3%, 6.4%, 30.1%, 23.0%, and 22.3% respectively [3] - Projected EPS for 2023A to 2027E: 1.16, 1.23, 1.60, 1.97, 2.41 [3] - Projected gross margin for 2023A to 2027E: 31.9%, 33.6%, 33.9%, 34.7%, 35.4% [3] Business Developments - The company has achieved significant breakthroughs in superconducting materials, with multiple projects achieving mass supply, including superconducting wire for the EAST device and the domestic nuclear fusion CRAFT project [9] - The high-performance high-temperature alloy technology has seen key innovations, enhancing the company's competitive edge in the industry [9] - The high-end titanium alloy market is expanding, with successful development of new specifications and production technologies [9]