KAIYUAN SECURITIES·2024-05-27 09:30Investment Rating - The report assigns a "Buy" rating for the company for the first time [3]. Core Views - The company is a leading player in the non-ferrous metal mining industry, with significant growth potential driven by the ramp-up of its copper and cobalt projects [5][6]. - The company is expected to achieve net profits of 11.42 billion, 15.61 billion, and 19.00 billion yuan for the years 2024, 2025, and 2026, respectively, with corresponding P/E ratios of 16.2, 11.8, and 9.7 [5]. - The company has a diversified resource portfolio that supports stable revenue and potential growth in the new energy metals sector [7]. Summary by Sections 1. Global Mining Expansion and Business Model - The company has established a "mining + trading" model, expanding its operations both domestically and internationally [11]. - The introduction of strategic partnerships, such as with CATL, enhances growth prospects and demonstrates confidence through employee stock ownership plans [19][21]. 2. Copper and Cobalt Projects - The TFM and KFM copper-cobalt projects are expected to significantly contribute to revenue growth, with copper production reaching 419,500 tons and cobalt production at 55,500 tons in 2023 [6][32]. - The company has acquired high-quality mining resources in the Democratic Republic of Congo, which are anticipated to drive capacity and revenue growth [32]. 3. Diversified Business Contributions - The company has a diversified business structure, including molybdenum-tungsten, niobium-phosphate, and mineral trading, which provides stable income [7][15]. - The mineral trading segment contributed 168.08 billion yuan in revenue in 2023, a 14.10% increase from the previous year [25]. 4. Financial Performance and Forecast - The company’s revenue for 2023 is projected at 196.58 billion yuan, with a year-on-year growth of 5.5% [8]. - The gross profit margin is expected to improve, with a forecasted gross profit margin of 13.8% in 2024 [8][29]. 5. Market Dynamics - The copper market is characterized by a tight supply-demand structure, which is expected to support copper prices in the medium to long term [39][42]. - The cobalt market is also anticipated to see stable demand growth, driven by the new energy sector [55].