Zhejiang Taotao Vehicles (SZ:301345) HUAXI Securities·2025-12-18 15:15Investment Rating - The investment rating for the company is "Accumulate" [1] Core Insights - The company has announced the acquisition of 100% equity in Champion Motorsports Group Holdings, LLC for $15 million to strengthen and expand its sales channels [2] - The target company has strong channel and brand resource advantages, with a robust customer base and mature sales network, including partnerships with major retailers [3] - The acquisition is expected to enhance the company's core competitiveness in building its own brand and channel, optimizing operational efficiency, and improving profitability [4] Financial Summary - The company is projected to achieve revenues of 43.34 billion, 57.79 billion, and 69.16 billion for the years 2025, 2026, and 2027 respectively, with growth rates of 45.6%, 33.3%, and 19.7% [5][8] - The net profit attributable to the parent company is expected to be 8.11 billion, 10.93 billion, and 13.23 billion for the same years, with growth rates of 87.9%, 34.9%, and 21.0% [5][8] - Earnings per share (EPS) are projected to be 7.43, 10.02, and 12.13 for 2025, 2026, and 2027 respectively, with corresponding price-to-earnings (PE) ratios of 31x, 23x, and 19x [5][8]