Investment Rating - The report assigns a "Buy" rating to the company, maintaining the previous rating of "Buy" [1]. Core Insights - The company, Suochen Technology, is a leading domestic CAE software enterprise, deeply engaged in the defense and military sectors while continuously expanding into the civilian market. The launch of its physical AI platform is expected to empower the industrial and manufacturing sectors, creating new growth opportunities [1][5][8]. Summary by Sections Stock Performance - The company's stock has shown a year-to-date increase of 36.3%, with a 12-month performance of 47.2% [2]. Financial Projections - Revenue projections for 2025-2027 are estimated at 5.1 billion, 6.9 billion, and 9.2 billion RMB, respectively. Net profit for the same period is expected to be 0.88 billion, 1.16 billion, and 1.58 billion RMB, with EPS of 0.99, 1.30, and 1.78 RMB, respectively. The PE ratios are projected to be 72.3, 55.2, and 40.4 times [5][7]. Company Overview - Suochen Technology focuses on the research, development, and sales of CAE software, with a strong emphasis on fluid, structural, and electromagnetic algorithms. The company has established a solid reputation in the defense sector and is expanding into civilian markets, aiming to become a "Chinese Dassault" [8][16]. Market Position - The domestic CAE market is currently dominated by foreign companies, with Ansys, Siemens, and Dassault Systems holding nearly 50% of the market share. However, domestic companies are gradually increasing their market presence, with a reported 16.2% market share for domestic CAE software in 2022, up from 7% in 2016 [50][61]. Product Development - The company has developed a comprehensive product matrix, with its engineering simulation software contributing over 50% of revenue and more than 70% of gross profit from 2019 to 2024. The physical AI platform launched in March 2025 is designed to enhance simulation efficiency and accuracy, targeting commercial applications [8][26][50].
索辰科技（688507）：国产CAE领军企业，成长中的“中国达索”