Shandong Daye (SH:603278) GOLDEN SUN SECURITIES·2024-03-10 16:00Investment Rating - The report maintains a "Buy" rating for the company [4][5]. Core Views - The approval of a 200MW wind power project is a significant step towards reducing costs and promoting overseas expansion. The project is expected to save over 200 million yuan in electricity costs annually once operational [3][15]. - The company is positioned to benefit from a recovering downstream market and cost optimization in its main business, alongside the potential breakthrough of new products in specialized steel wire for robotics and other sectors [4][16]. Financial Projections - Revenue projections for the company are as follows: 2023 at 5.503 billion yuan, 2024 at 6.198 billion yuan, and 2025 at 7.024 billion yuan. Net profit estimates are 112 million yuan for 2023, 192 million yuan for 2024, and 358 million yuan for 2025 [4][7]. - The company’s current market value corresponds to a PE ratio of 33.5X for 2023, with expectations of improving profitability due to cost optimization and new product developments [4][7]. Industry Outlook - The tire skeleton materials industry is experiencing a recovery, with raw material prices stabilizing and energy costs declining, which alleviates cost pressures for the company [16]. - The company is strategically positioning itself in high-end specialized steel wire markets, targeting applications in high-performance vehicles and robotics, which presents significant growth opportunities [16].