GS(SH:601500) Minsheng Securities·2024-04-26 07:00Investment Rating - The report maintains a "Buy" rating for the company, indicating a positive outlook for future performance [5][12]. Core Insights - The company reported strong financial results for Q1 2024, with revenue of 1.443 billion yuan, a year-over-year increase of 37.58%, and a net profit of 153 million yuan, reflecting a year-over-year growth of 1270.57% [12]. - The company's overseas projects are accelerating, with significant capacity increases expected from its facilities in Thailand and Cambodia, which will enhance revenue and profitability [12]. - The tire industry is experiencing increased demand, particularly in the U.S., where tire imports have surpassed levels seen in the past five years, suggesting a favorable market environment for the company's products [12]. Financial Performance Summary - In 2023, the company achieved total revenue of 5.064 billion yuan, a year-over-year growth of 22.91%, and a net profit attributable to shareholders of 216 million yuan, marking a substantial increase of 1175.49% [12][20]. - The projected net profits for 2024, 2025, and 2026 are 674 million yuan, 1.004 billion yuan, and 1.470 billion yuan, respectively, with corresponding earnings per share (EPS) of 0.42 yuan, 0.63 yuan, and 0.92 yuan [12][20]. - The company's price-to-earnings (PE) ratio is projected to decrease from 14 in 2024 to 6 by 2026, indicating an attractive valuation as earnings grow [20].