SITI(000563) 国投证券·2024-03-18 16:00Investment Rating - Maintain Buy-A rating with a 6-month target price of 3.36 CNY [3][13] Core Views - The company achieved significant growth in 2023, with revenue reaching 2.813 billion CNY (+46% YoY) and net profit attributable to shareholders of 1.082 billion CNY (+29% YoY) [1] - The company's trust business transformation has shown results, with trust assets reaching 531.8 billion CNY (+88% YoY) and property rights trust assets increasing by 321% to 267.3 billion CNY [1] - The company's investment income and fair value change income reached 640 million CNY, a significant improvement from -50 million CNY in the previous year, driven by interest income from debt investments [2] - The company is expected to maintain growth momentum, with projected EPS of 0.24 CNY, 0.27 CNY, and 0.32 CNY for 2024-2026 [3] Financial Performance - Revenue growth is expected to continue, with forecasts of 3.122 billion CNY (+11% YoY) in 2024, 3.497 billion CNY (+12% YoY) in 2025, and 3.986 billion CNY (+14% YoY) in 2026 [5][8] - Net profit growth is projected at 13% in 2024, 14% in 2025, and 17% in 2026, with net profit margins expected to improve from 38% in 2023 to 41% by 2026 [8] - ROE is expected to remain stable at 7% in 2024-2025 and increase to 8% in 2026 [8] Business Transformation - The company is actively transforming its trust business, with standard asset management trust scale exceeding 100 billion CNY and property rights service trust scale surpassing 200 billion CNY [1] - The company is deepening cooperation with credit guarantee funds, financial peers, and private equity managers to enhance the efficiency of its own funds and investment capabilities [2] Valuation - The company is valued at 0.95x 2024 P/B, with a target price of 3.36 CNY [3] - The current P/E ratio is 14.17x for 2023, expected to decrease to 12.49x in 2024, 10.95x in 2025, and 9.36x in 2026 [8][14]