CNOOC(00883)2024-03-07 16:00Investment Rating - The report maintains a "Buy" rating for the company [2][4] Core Views - The company discovered a significant oil field in the South China Sea, with an average oil production of approximately 7,680 barrels per day and gas production of about 0.52 million cubic feet [3] - The company has raised its production targets for 2024-2025 and disclosed its 2026 production goals, with a net production target of 700-720 million barrels of oil equivalent for 2024, representing a year-on-year increase of 3.7% to 6.7% [3] - Capital expenditures are set to increase, with a total budget of RMB 125-135 billion for 2024, and the company has adjusted its 2023 capital expenditure to approximately RMB 128 billion, aligning with its goals [3] - The company is progressing with several new projects, including significant developments in both domestic and international locations [3][4] Summary by Sections Revenue and Profit Forecast - Total revenue is projected to grow from RMB 406.23 billion in 2023 to RMB 445.79 billion in 2025, with a compound annual growth rate (CAGR) of approximately 5.03% [2] - The net profit attributable to the parent company is expected to decrease to RMB 127.81 billion in 2023, followed by increases to RMB 139.74 billion in 2024 and RMB 149.75 billion in 2025, reflecting a year-on-year growth of 9% and 7.17% respectively [2][4] Earnings Per Share (EPS) and Valuation - The latest diluted EPS is forecasted to be RMB 2.69 in 2023, RMB 2.94 in 2024, and RMB 3.15 in 2025, with corresponding P/E ratios of 6.07, 5.55, and 5.18 [2][4] Shareholder Returns - The company aims to maintain a dividend payout ratio of no less than 40% from 2022 to 2024, with an absolute dividend value of no less than HKD 0.70 per share [4]