LZLJ(SZ:000568) Guotai Junan Securities·2024-03-19 16:00Investment Rating - The report maintains a "Buy" rating for Luzhou Laojiao [5][10]. Core Views - The company is expected to benefit from the dual-brand strategy of Guojiao and Luzhou Laojiao, with significant advantages in channel operations and a promising outlook for high-quality development [3][4]. - The company has laid a solid foundation in 2023, transitioning from a strategic preparation phase to a strategic offensive phase, which is expected to support strong performance in 2024 [3][4]. - The company is focusing on enhancing its marketing strategies, including consumer engagement and digital marketing, to improve sales and brand presence [3][4]. Financial Summary - Revenue is projected to grow from 31,242 million in 2023 to 45,841 million in 2025, reflecting a compound annual growth rate (CAGR) of approximately 21% [4]. - Net profit is expected to increase from 13,202 million in 2023 to 19,632 million in 2025, with a net profit growth rate of 27% in 2023 and 22% in 2024 [4]. - The earnings per share (EPS) forecast for 2023, 2024, and 2025 is 8.97, 10.98, and 13.34 respectively [3][4]. Valuation Metrics - The company is currently valued at a price-to-earnings (P/E) ratio of 17x for 2024, indicating a strong valuation advantage given its growth prospects [3][4]. - The dividend per share is expected to increase from 4.76 in 2023 to 6.11 in 2025, reflecting a commitment to enhancing shareholder returns [4]. - The company has demonstrated a consistent improvement in profitability metrics, with an operating profit margin projected to remain above 54% through 2025 [4].