证券业务稳健发展，自营业务收入持续高增

Investment Rating - The investment rating for the company is "Outperform the Market" [2] Core Views - The report highlights that the company, Dongfang Caifu, reported a total revenue of 11.1 billion yuan in 2023, a year-on-year decrease of 11.2%, and a net profit attributable to shareholders of 8.2 billion yuan, down 3.7% year-on-year. The earnings per share (EPS) is 0.52 yuan, with a weighted average return on equity (ROE) of 11.94%, a decrease of 2.5 percentage points year-on-year [4][5] - The report indicates a continuous decline in the scale of newly issued funds, with the market's total new fund issuance at 1.15 trillion units in 2023, down 22.4% year-on-year. The sales scale of equity funds decreased by 31.7% year-on-year, accounting for 26% of the total, a drop of 3.5 percentage points [4][6] - The brokerage and margin financing business market share continues to improve, with the company's brokerage commission income at 4.97 billion yuan in 2023, down 8.3% year-on-year. The margin financing business saw a net interest income of 2.23 billion yuan, a decrease of 8.7% year-on-year, while the amount of funds lent increased by 26.3% year-on-year [4][6] - The company is increasing its management and R&D expenses, with a R&D expense ratio of 9.8% in 2023, up 2.3 percentage points year-on-year. A new equity incentive plan for 2024 has been announced, aiming for net profit growth rates of no less than 10%, 20%, and 30% for the years 2024 to 2026 [4][6] - The report maintains a positive outlook on Dongfang Caifu due to its strong customer stickiness and diversified demand through platforms like Dongfang Caifu Network and Tiantian Fund Network, as well as its first-mover advantage in fund distribution [4][6] Financial Summary - The company's total revenue is projected to reach 12.28 billion yuan in 2024, with a year-on-year growth of 10.8%. The net profit is expected to be 9.22 billion yuan, reflecting a growth of 12.5% year-on-year [5][10] - The report estimates a reasonable market capitalization for the company between 267.8 billion and 301.3 billion yuan, corresponding to a reasonable value range of 16.89 to 19.00 yuan per share [4][8]