HEGC(000883) 华源证券·2024-04-25 10:00Investment Rating - The report maintains a "Buy" rating for Hubei Energy [2][3][6] Core Views - The company is focusing on its core business by transferring its stake in Changjiang Securities, which is expected to generate a one-time investment gain of 4.343 billion yuan [2] - The transaction is seen as a strategic move to optimize the company's asset layout and enhance its core competitiveness [2] - The company has a strong financial position with a debt-to-asset ratio of 56% and no perpetual bonds, indicating a solid standing within the power industry [2] - The report highlights the strategic value of the company's non-electricity assets, including coal trading and natural gas sales, which are expected to contribute positively to future performance [2][3] Financial Summary - As of March 29, 2024, the company's stock closed at 5.57 yuan, with a market capitalization of 36.322 billion yuan [1] - The company plans to achieve net profits of 1.811 billion yuan, 2.891 billion yuan, and 3.439 billion yuan for the years 2023, 2024, and 2025 respectively [3][4] - The report projects a significant increase in revenue for 2024, with total revenue expected to reach 24.463 billion yuan, reflecting a year-on-year growth of 29.4% [4] - The company's earnings per share are forecasted to be 0.44 yuan for 2024 and 0.53 yuan for 2025, indicating a positive growth trajectory [4] Asset Valuation - The intrinsic value of the company is estimated at 427 billion yuan, derived from its various segments including hydropower, thermal power, and renewable energy [3] - The report emphasizes that the market has not fully recognized the cash flow potential of the company's hydropower assets, which are expected to provide substantial returns [3] - The valuation of the company's non-electricity assets, such as coal and natural gas, is considered strategically significant and is expected to enhance overall company value [2][3]