ZHUHAI COSMX(SH:688772) China Post Securities·2026-01-08 11:50Investment Rating - The report maintains a "Buy" rating for the company, indicating an expected stock price increase of over 20% relative to the benchmark index within the next six months [6][14]. Core Insights - The company has successfully completed the design and mass production of consumer-grade steel shell batteries, which offer higher flexibility and efficiency compared to traditional polymer soft-pack batteries. This innovation is expected to enhance applications in consumer electronics such as smartphones and smartwatches [3]. - The company is expanding its market reach into emerging consumer electronics, including smart wearables and drones, and has achieved significant growth in these sectors. Notably, it will supply high-end smartwatch batteries to Samsung using a Cell+Pack supply model by 2025 [4]. - The company is focusing on advanced technologies, including the development of silicon anode batteries and sodium-ion batteries, which are expected to enhance its competitive edge in the battery market. The silicon anode batteries have achieved a high energy density of 900Wh/L, while sodium-ion batteries are being developed for stable power supply in low-temperature scenarios [5]. Financial Projections - Revenue projections for the company are as follows: 2025 at 144 billion yuan, 2026 at 200 billion yuan, and 2027 at 239 billion yuan. Corresponding net profits are expected to be 6.4 billion yuan, 16 billion yuan, and 21 billion yuan respectively [6][10]. - The company is projected to achieve a revenue growth rate of 24.38% in 2025, 38.98% in 2026, and 19.66% in 2027, with net profit growth rates of 48.98%, 154.73%, and 29.01% for the same years [10][11]. - The earnings per share (EPS) are forecasted to be 0.57 yuan in 2025, 1.44 yuan in 2026, and 1.86 yuan in 2027, with a decreasing price-to-earnings (P/E) ratio from 56.82 in 2024 to 11.61 in 2027 [10][11]. Company Overview - The latest closing price of the company's stock is 21.60 yuan, with a total market capitalization of 245 billion yuan. The company has a debt-to-asset ratio of 65.3% and a current P/E ratio of 56.84 [2]. - The largest shareholder is Zhuhai Prida Investment Co., Ltd., which indicates a significant backing for the company's operations and growth strategies [2].