Guolian Minsheng Sec(SH:601456) CHINA DRAGON SECURITIES·2024-05-06 05:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company is in the process of acquiring control of Minsheng Securities through the issuance of A-shares and raising matching funds. The A-shares will be suspended from trading starting April 26, 2024, for no more than 10 trading days [1] - The acquisition is expected to enhance the company's comprehensive strength, with projected net profits for 2024-2026 being CNY 697 million, CNY 805 million, and CNY 1.015 billion, respectively. The current stock price corresponds to a price-to-book (PB) ratio of 1.59, 1.45, and 1.23 for the respective years [1][3] Financial Data Summary - Market Data: As of April 25, 2024, the stock price is CNY 10.46, with a 52-week price range of CNY 8.80-13.38. The total market capitalization is CNY 29,620.35 million, and the circulating market capitalization is CNY 24,990.33 million [1] - Profit Forecast: The company expects revenue growth rates of 5% in 2024, 9% in 2025, and 14% in 2026, with a projected revenue of CNY 3,101 million in 2024 [3] - Balance Sheet: Total assets are projected to reach CNY 93,702 million in 2024, with total liabilities of CNY 75,051 million [4] - Key Financial Ratios: The return on equity (ROE) is expected to improve from 4% in 2024 to 6% in 2026, while the price-to-earnings (P/E) ratio is projected to decrease from 42.26 in 2024 to 29.06 in 2026 [4]