DKEM(SZ:300842) Minsheng Securities·2024-04-27 03:30Investment Rating - The report maintains a "Recommended" rating for the company [5]. Core Insights - The company is positioned to benefit from the rapid growth in TOPCon silver paste shipments, with expectations to enjoy the production benefits of LECO technology [5]. - The company is a leader in N-type silver paste and is expected to capitalize on the iteration benefits of N-type technology [5]. - The first quarter of 2024 showed significant revenue growth of 135.38% year-on-year, reaching 3.644 billion yuan, and a net profit increase of 103.71% year-on-year, amounting to 176 million yuan [5]. Financial Forecasts - Revenue projections for 2024, 2025, and 2026 are 15.487 billion yuan, 18.534 billion yuan, and 21.534 billion yuan, respectively, with growth rates of 61.3%, 19.7%, and 16.2% [5][17]. - The net profit attributable to shareholders is forecasted to be 682 million yuan in 2024, 831 million yuan in 2025, and 984 million yuan in 2026, with corresponding growth rates of 76.9%, 21.9%, and 18.4% [5][17]. - The company’s PE ratios are projected to be 10X, 8X, and 7X for the years 2024, 2025, and 2026, respectively [5][17]. Market Position and Strategy - The company is expected to achieve a shipment volume of 2,500 to 3,000 tons in 2024, representing a year-on-year increase of over 45% compared to 1,714 tons in 2023 [5]. - The introduction of LECO technology is anticipated to enhance the efficiency of TOPCon batteries by 0.3%-0.6%, with the company being a leading supplier of the necessary silver paste [5]. - The company is expanding its semiconductor paste offerings, transitioning from small to medium and large clients, and is investing in high-performance electronic materials projects [5].