QINGDAO SENTURY TIRE CO.(002984) 国泰君安·2024-04-23 00:31Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 34.24 yuan, up from the previous target of 28.68 yuan [2][3]. Core Insights - The company's Q1 2024 performance exceeded expectations, driven by a high demand in the tire industry and the orderly progress of its Morocco project [2][3]. - The company achieved a revenue of 7.84 billion yuan in Q1 2024, representing a year-on-year increase of 27.59% and a net profit of 1.37 billion yuan, up 101.34% year-on-year [2][3]. - The report highlights the company's strategic advantages, including the lowest anti-dumping tax rate for its Thailand factory and its growing market share in the U.S. and Europe [2][3]. Summary by Sections Financial Performance - The company reported a significant increase in tire production and sales, with Q1 2024 tire production reaching 807.57 million units, a 28% increase year-on-year [2]. - The net profit margin reached a historical high of 31.32%, reflecting a year-on-year increase of 7.98 percentage points [2][3]. Earnings Forecast - The projected EPS for 2024, 2025, and 2026 is 1.97, 2.43, and 2.80 yuan respectively, indicating a positive growth trajectory [2][3]. - The report anticipates a revenue growth of 21% for 2024, with total revenue expected to reach 8.995 billion yuan [4]. Market Position - The company has become a qualified supplier for major automotive brands, enhancing its competitive position in the market [2][3]. - The report notes that the company's products have gained significant market share in the replacement market in the U.S. and Europe, with respective shares exceeding 5% and 4% [2][3].