SERES(SH:601127) ZHONGTAI SECURITIES·2025-07-16 12:45Investment Rating - The investment rating for the company is "Buy" (maintained) [4] Core Views - The company is expected to achieve a significant increase in net profit for the first half of 2025, with estimates ranging from 2.7 to 3.2 billion yuan, representing a year-on-year growth of 66.2% to 97.0% [6] - The growth in profit is attributed to structural improvements, particularly in high-end models, despite a decline in overall vehicle sales [6] - The company has a strong order backlog for its M8 and M9 models, indicating continued growth potential [6] - The profit forecast for 2025-2026 has been slightly adjusted downwards, with net profit expectations of 9.77 billion and 12.91 billion yuan respectively, while maintaining a "Buy" rating [6] Financial Summary - Total shares outstanding: 1,633.37 million [2] - Market price: 130.12 yuan [2] - Market capitalization: 212,533.60 million yuan [2] - Revenue projections for 2023A to 2027E show significant growth, with 2025E revenue expected to reach 175.91 billion yuan, a 21% increase from the previous year [4] - Net profit for 2025E is projected at 9.77 billion yuan, with a year-on-year growth rate of 64% [4] - Earnings per share (EPS) is expected to rise to 5.98 yuan in 2025E [4] Sales and Profitability - The company sold 152,000 vehicles in the first half of 2025, a decrease of 16.6% year-on-year, but high-end models like M9 and M8 showed growth in sales [6] - The M9 model achieved sales of 62,000 units in the first half of 2025, a 6.3% increase year-on-year [6] - The M8 model, launched in April 2025, has already received over 80,000 orders within 34 days of its release [6] Valuation Metrics - Price-to-Earnings (P/E) ratio for 2025E is projected at 21.6 [4] - Price-to-Book (P/B) ratio for 2025E is projected at 9.6 [4] - The company is expected to maintain a high return on equity (ROE) of 50% in 2025 [4]