Deye(605117) 太平洋·2024-05-12 07:30Investment Rating - Buy/Maintain rating for Deye Technology (605117) with a target price of 97.71 [1] Core Views - Deye Technology's performance has shown significant recovery, with its energy storage and inverter businesses expected to accelerate growth [1][2] - The company's 2023 annual report and 2024 Q1 report indicate a strong rebound in performance, driven by downstream demand recovery and expansion into emerging markets [2] Financial Performance - In 2023, Deye Technology achieved revenue of 7.48 billion yuan, a year-on-year increase of 25.59%, with net profit attributable to shareholders of 1.79 billion yuan, up 18.03% [2] - Gross margin in 2023 was 40.41%, an increase of 2.38 percentage points year-on-year, while net margin was 23.94%, down 1.64 percentage points [2] - In 2024 Q1, revenue was 1.88 billion yuan, down 9.64% year-on-year, with net profit attributable to shareholders of 433 million yuan, down 26.48% [2] Business Segments - Inverter revenue in 2023 was 4.429 billion yuan, up 11.95% year-on-year, with a gross margin of 52.33%, up 4.14 percentage points [2] - Energy storage battery pack revenue in 2023 was 884 million yuan, a significant increase of 965.43% year-on-year [2] - Home appliance business remained stable, with dehumidifier revenue increasing by 21.51% to 704 million yuan and heat exchanger revenue up 8.69% to 1.345 billion yuan [2] R&D and Product Development - The company has been actively optimizing its products, such as introducing silicon carbide solutions for energy storage inverters to reduce size and material costs [2] - New products under development include balcony micro energy storage inverters and energy storage PCS100KW series [2] Future Projections - Revenue for 2024/2025/2026 is projected to be 10.91/14.11/18.15 billion yuan, with year-on-year growth of 45.9%/29.3%/28.7% [2] - Net profit attributable to shareholders is expected to be 2.38/2.88/3.56 billion yuan, with year-on-year growth of 32.8%/21.1%/23.6% [2] - The current stock price corresponds to a PE ratio of 17/14/11 times for 2024-2026 [3] Valuation Metrics - The company's 2024-2026 PE ratios are projected at 16.76/13.84/11.20, with PB ratios at 5.20/3.78/2.83 and PS ratios at 3.65/2.83/2.20 [6]