Xingyu Co.,Ltd(SH:601799) Guohai Securities·2024-06-02 01:30Investment Rating - The investment rating for the company is "Buy" (maintained) [1] Core Views - The company is positioned to enter a new growth cycle over the next 3-5 years, driven by the new growth cycle in the automotive lighting industry, the expansion of new customers, and the development of new business areas [7][8]. Summary by Sections 01 Overall Introduction - The company is a leader in the domestic automotive lighting sector, with a rich customer base and a history of growth since its establishment in 1993. Revenue increased from 1.63 billion to 10.25 billion yuan from 2013 to 2023, with a CAGR of 20.2% [12][33]. 02 New Cycle in the Automotive Lighting Industry - The automotive lighting industry is expected to experience a second growth phase driven by the upgrade to smart lighting products. The penetration rate of LED headlights has increased from 24% in 2018 to 79% in 2023, with further growth anticipated due to the rise of electric vehicles [7][44][50]. 03 New Customer Cycle - The company has optimized its customer structure, with a projected market share increase from 16% in 2023 to 31% by 2030, as it continues to penetrate leading domestic and new energy vehicle manufacturers [8][60]. 04 New Business Cycle - The company has a strong pipeline of innovative products, including ADB headlights and OLED tail lights, and is expanding its overseas presence, particularly in Europe and the Americas, which could significantly boost revenue [8][60]. 05 Earnings Forecast - Revenue is projected to grow from 12.9 billion yuan in 2024 to 19.5 billion yuan in 2026, with corresponding net profits of 1.52 billion yuan and 2.41 billion yuan, reflecting growth rates of 38% and 24% respectively. The expected EPS for 2024-2026 is 5.33, 6.83, and 8.45 yuan, with PE ratios of 23, 18, and 15 times [7][8].