Investment Rating - The report gives an "Accumulate" investment rating for the company [3]. Core Insights - The company is a leading enterprise in the domestic high-temperature alloy recycling technology, focusing on high-return recycling of high-temperature alloys and key strategic material import substitution [5][11]. - The company has shown significant breakthroughs in the preparation of high-temperature alloy recycling and has a strong market potential across multiple industries, including aerospace, gas turbines, and nuclear engineering [5][11]. - The company’s revenue is projected to grow from 26.57 billion yuan in 2025 to 35.60 billion yuan in 2027, with corresponding net profits of 1.19 billion yuan and 2.09 billion yuan respectively [5][6]. Financial Data and Valuation - Total revenue (in million yuan) for the years 2023 to 2027 is projected as follows: 2035, 2508, 2657, 3043, and 3560, with year-on-year growth rates of 58%, 23%, 6%, 15%, and 17% respectively [2]. - The company’s net profit for the same period is expected to be 151 million, 162 million, 119 million, 159 million, and 209 million yuan, with corresponding year-on-year growth rates of 41%, 7%, -26%, 34%, and 32% [6]. - The company’s current market capitalization is 12.6 billion yuan, with a circulating market value of 9.5 billion yuan [3]. Company Overview - The company, established in August 2007, is a key production and R&D base for high-end equipment manufacturing materials in China, focusing on high-temperature alloys and special alloy materials [11]. - The company has a diverse shareholding structure, with the main shareholder holding 15.13% of the shares [3][11]. - The company’s main products include high-temperature alloys, high-performance alloys, and high-quality special stainless steels, which are crucial for various high-end industries [17][21]. Market Demand and Growth Potential - The demand for high-temperature alloys is expected to grow significantly due to increasing defense budgets, military aircraft upgrades, and the acceleration of domestic engine replacements in the civil aviation sector [5][11]. - The aerospace sector is projected to see a rise in the number and quality of rocket launches, leading to increased demand for high-temperature alloys used in rocket engines [5][11]. - The nuclear power sector is also expected to grow rapidly due to the acceleration of nuclear power station construction and equipment exports [5][11]. Technology and Competitive Advantage - The company has developed advanced recycling technologies that significantly reduce costs and improve efficiency, achieving a quality and stability level that surpasses new materials [5][11]. - The company’s high-temperature alloy products are primarily deformation alloys, which are widely used in critical components for aerospace, nuclear engineering, and gas turbines [5][11]. - The company has established itself as a leader in the domestic market for high-temperature alloy recycling technology, with a focus on achieving high-value, high-efficiency, and high-technology recycling of strategic materials [5][11].