Investment Rating - The report assigns a "Buy" rating to the company for the first time, with a target price of 13.20 CNY based on a 55x adjusted average valuation for comparable companies in 2026 [3][5]. Core Insights - The small and medium-sized drone market has significant growth potential, driven by the demand for unmanned combat systems in the military trade market [8][17]. - The company is a leader in the military small and medium-sized drone sector, with strong electronic information capabilities, and is expected to benefit from both domestic and international demand [9][10]. - The company has developed the "Hongzhan" unmanned equipment management system, which is anticipated to lead new trends in unmanned combat [8][9]. Financial Forecast and Investment Recommendations - The company is projected to have earnings per share (EPS) of 0.17, 0.24, and 0.32 CNY for the years 2025, 2026, and 2027 respectively [3]. - Revenue forecasts for 2021-2023 are 18,727 million CNY, 14,280 million CNY, and 15,651 million CNY, with a growth rate of 7.2% in 2023 [4]. - The company’s net profit attributable to the parent company is expected to reach 1,042 million CNY by 2027, reflecting a growth rate of 29.2% [4]. Market Trends and Opportunities - The demand for small and medium-sized drones is expected to expand significantly due to their low cost and high efficiency, particularly in modern warfare scenarios [19][21]. - The commercial space sector is in a rapid growth phase, with the company positioned to benefit from increased satellite launches and the development of low-orbit satellites [10][11]. - The traditional business segments are expected to recover as the defense market improves, with a focus on missile, satellite, and rocket components [8][11]. Competitive Advantages - The company has a comprehensive range of drone products, including the FH-901 loitering munition, which boasts superior performance and collaborative combat capabilities [27][32]. - The company’s drones are designed for various military applications, with a focus on electronic information integration and system capabilities [30][31]. - The FH-901 loitering munition is noted for its long endurance and high explosive power, making it competitive against international counterparts [32][33].

Core Viewpoint - The event highlighted the integration of technological innovation and industrial development, showcasing Beijing's role as a center for technological advancement and its contributions to global service trade quality development [4][26]. Group 1: Event Overview - The event was organized by the Beijing Development and Reform Commission and the Beijing Commerce Bureau, focusing on the theme "Digital Intelligence Leading, Service Trade Renewed" [2][4]. - Over 80 participants, including industry experts and representatives from various districts, attended the event, emphasizing the importance of the first set of major technological equipment in driving service industry transformation [2][4]. Group 2: Key Presentations - Experts discussed "Digital Development of Equipment" and "Policy Innovation for Future Industries," providing insights into the integration of technology and industry [5]. - The event served as a platform for showcasing advanced technologies and products, reinforcing Beijing's leading position in technological innovation [4][26]. Group 3: Policy and Recognition - The Beijing Development and Reform Commission provided in-depth interpretations of comprehensive policies related to the first set of equipment, boosting confidence in enterprise innovation [8][13]. - Certificates were awarded to the second and third batches of first-set enterprises, highlighting the government's support for innovation [8][13]. Group 4: Project Signings - The event included the signing of medical robot leasing projects, indicating a collaborative effort to enhance technological applications in healthcare [18]. - Projects aimed at upgrading intelligent systems and expanding capabilities in high-end medical equipment and smart manufacturing were also signed, promoting innovation and industry clustering [20]. Group 5: Product Showcases - Innovative products from companies like Beijing Boson Quantum Technology and Beijing Aurora Star Communication were showcased, focusing on future industries and high-end equipment [22]. - The event featured over 60 first-set enterprises participating in various demonstrations, further illustrating Beijing's commitment to technological innovation [23]. Group 6: Future Directions - The Beijing Development and Reform Commission plans to continue enhancing policies related to the first set of equipment, aiming to convert more innovative results into productive forces [26][27]. - The event underscored Beijing's role in driving high-quality economic development through technological advancements and industry upgrades [27].