Baosight(600845) 群益证券·2024-04-24 07:00Investment Rating - The report assigns a "BUY" rating for the company, indicating a potential upside in the stock price [2][6]. Core Insights - The company has demonstrated robust revenue growth, with Q1 2024 revenue reaching RMB 3.391 billion, a year-on-year increase of 34.4%. The net profit attributable to shareholders was RMB 590 million, up 18.2% year-on-year [3]. - The automation and information technology sectors are experiencing rapid growth, contributing significantly to the company's revenue. Despite a decline in gross margin by 7.58 percentage points to 32.68%, effective cost control measures have been implemented [3]. - The company has acquired a controlling stake in Turing Robotics, which showcased its products at the Hannover Industrial Fair, indicating a strategic move to enhance its capabilities in the industrial robotics sector [3]. - The demand for computing power is expected to rise due to the influence of AI and the digital economy, with the company actively participating in the construction of national computing hubs and data centers [4]. Financial Summary - The company's net profit is projected to grow from RMB 2.186 billion in 2022 to RMB 5.155 billion by 2026, reflecting a compound annual growth rate (CAGR) of approximately 27.23% [5]. - Earnings per share (EPS) are expected to increase from RMB 0.91 in 2022 to RMB 2.14 in 2026, with a similar growth trajectory [5]. - The price-to-earnings (P/E) ratio is forecasted to decrease from 41 in 2024 to 17 by 2026, indicating an improving valuation as earnings grow [5].