Sinexcel Electric(300693)2024-05-31 12:30Investment Rating - The report assigns a "Buy" rating for the company with a target price of 42.51 CNY per share, corresponding to a market capitalization of 132 billion CNY [6][19][302]. Core Insights - The company has transitioned from its origins in power quality equipment to a focus on new energy sectors, including new energy power conversion equipment, electric vehicle charging stations, and battery formation [1][4][106]. - In 2023, the company achieved a significant revenue increase, with its charging station business generating 850 million CNY, a year-on-year growth of 99.6% [1][9][94]. - The company is positioned as a leading player in the domestic charging station and module market, with a diverse customer base that includes energy companies, charging operators, and automotive manufacturers [1][4][10]. - The company has successfully obtained certifications for its charging products in international markets, including EU and US standards, indicating potential for future growth in overseas markets [1][9][46]. Summary by Sections 1. Domestic and International Market Development - The company has seen steady growth in its traditional power quality equipment business, with a CAGR of 20% from 2018 to 2023 [72]. - The company’s revenue from new energy power conversion equipment reached 910 million CNY in 2023, reflecting a year-on-year increase of 256% [25][94]. 2. Charging Station Industry: Policy and Demand Resonance - The charging station business is expected to maintain high growth momentum, supported by favorable domestic policies and a rebound in construction demand [9][95]. - The company’s charging station revenue is projected to reach 1.27 billion CNY in 2024, with a gross margin of 40% [11][76]. 3. Energy Storage Industry: Recovery from Low Demand - The company’s energy storage business has also shown significant growth, with a revenue of 910 million CNY in 2023, up 256% year-on-year [25][94]. - The domestic energy storage market is expected to see a substantial increase in installed capacity, with projections of 34 GW added in 2024, representing a 51% year-on-year growth [223]. 4. Accelerated Development of New Energy Business - The company’s new energy business, particularly in charging stations and energy storage, is becoming a core focus, with combined revenue from these sectors accounting for 66% of total revenue in 2023 [125][263]. - The company’s overseas revenue reached 534 million CNY in 2023, marking an 81.91% increase year-on-year, with exports constituting 20.15% of total revenue [143][164]. 5. Profit Forecast, Valuation, and Investment Recommendations - The company is expected to achieve revenues of 37.8 billion CNY, 47.6 billion CNY, and 56.6 billion CNY in 2024, 2025, and 2026, respectively, with corresponding net profits of 5.3 billion CNY, 7.0 billion CNY, and 9.0 billion CNY [19][11][19]. - The report anticipates a three-year CAGR of 31% for net profit, reflecting the company’s strong growth potential in the new energy sector [19][11].