MGI(SH:688114) Soochow Securities·2024-04-30 12:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company reported a revenue of 2.911 billion yuan in 2023, a decrease of 31.19% year-on-year, with a net profit attributable to shareholders of -607.5 million yuan [3] - The gene sequencing business maintained high growth in 2023, with revenue of 2.291 billion yuan, an increase of 30.31%, while Q1 2024 revenue showed a slight pressure with 449 million yuan, a growth of 4% [3][4] - The company continues to enhance its competitiveness and market share, achieving a domestic market share of 47% in new sequencing instrument sales in 2023 [4] Financial Forecast and Valuation - Revenue forecasts for 2024 and 2025 have been adjusted to 3.432 billion yuan and 3.994 billion yuan, respectively, down from previous estimates of 4.134 billion yuan and 5.498 billion yuan [4] - The net profit attributable to shareholders for 2024 and 2025 is expected to be -424 million yuan and -75 million yuan, respectively, reflecting a downward adjustment from earlier projections [4] - The company is projected to achieve a revenue of 4.540 billion yuan in 2026, with a net profit of 118 million yuan [4] Market Data - The closing price of the company's stock is 57.44 yuan, with a market capitalization of 23.874 billion yuan [6] - The price-to-book ratio is 2.88, and the price-to-earnings ratio is projected to be 202.05 in 2026 [6][10] Business Highlights - The company invested 910 million yuan in R&D in 2023, accounting for 31.26% of its revenue, indicating a commitment to innovation [4] - The company has established 24 overseas subsidiaries and nine major R&D centers globally, aiming for continued rapid growth in overseas markets [4]