DEVELOP(SH:688377) GF SECURITIES·2024-05-07 08:02Investment Rating - The report maintains a "Buy" rating for the company, with a target price of 23.7 CNY per share based on a 25x P/E ratio for 2024 [2][11]. Core Insights - The company is experiencing rapid growth in performance, supported by a clear high industry prosperity and a gradual ramp-up in production capacity [1][11]. - The company achieved a revenue of 1.21 billion CNY in 2023, representing a year-on-year growth of 23%, and a net profit attributable to shareholders of 142 million CNY, up 17.3% year-on-year [11]. - The company is focusing on high-end product markets, particularly in deep-sea applications, with overseas revenue reaching 830 million CNY in 2023, a 38% increase year-on-year [11]. Financial Summary - Revenue is projected to grow from 1.21 billion CNY in 2023 to 2.52 billion CNY by 2026, with a compound annual growth rate (CAGR) of approximately 27.5% [11][45]. - The net profit attributable to shareholders is expected to increase from 142 million CNY in 2023 to 302 million CNY by 2026, reflecting a CAGR of around 27.8% [11][45]. - The company's P/E ratio is forecasted to decrease from 36.24 in 2023 to 10.27 by 2026, indicating improving valuation metrics as earnings grow [45].