Zhaoyi Innovation (603986) 2019 Third Quarterly Report Review: Q3 Performance Exceeds Expectations NORFLASH continues to pick up

Zhaoyi Innovation (603986) 2019 Third Quarterly Report Review: Q3 Performance Exceeds Expectations NORFLASH continues to pick up

In the third quarter of 2019, the company’s performance exceeded expectations, and subsequent sales of products such as NOR Flash rebounded. The expected performance is expected to continue.

The company is a domestic manufacturer of high-quality memory chips, MCUs, and under-screen fingerprints. It is an important domestic memory platform in the medium and long term. R & D continues to grow and deserves special attention.

Are we up for 2019?
The EPS forecast for 2021 is 2.



36 yuan, maintain “Buy” rating.

Q3 performance exceeded expectations, and NORFlash continued to pick up.

The company’s 2019Q3 revenue was 10.

2.0 billion, previous / mom +62.

97% / + 34.

31%; net profit attributable to mother 2.

6.2 billion, previous / mom +98.

21% / + 77.

39%, exceeding market expectations.

The third quarter is the traditional peak season, which continues to benefit from the demand for NOR Flash since the second quarter. The price has picked up a strong trend and expanded new customers.

The company’s 2019Q3 sales / management / R & D / financial expense ratios increased by +0 respectively.

54 points / -0.

81pct / + 0.

49pct / + 0.

43pct, the overall period expense rate +0.

64pct; gross margin / net margin are 40.

58% / 26.

18%, +1.

20 pieces / + 4.


Core businesses such as storage and MCU are actively explored to benefit from increased market demand + increased market share.

In terms of business: 1) In terms of NORFlash, it has benefited from the incremental outbreak of the TWS market.

The company launched the industry’s smallest packaging and low power consumption product line, to provide customers with Airpods, Android expansion and other manufacturers.

55nm products are close to mass production, which will further reduce costs and reduce packaging.

According to Web-FeetResearch, the company ranked No. 5 globally in 2018 with a market share of 10.

9%, ten years +0.

4pct, second only to Wanghong, Winbond, Cypress and Micron.

For NANDFlash, 38nm SLC has been in mass production and will further promote 24nm products.

2) The microcontroller (MCU) successfully developed the world’s first RISC-V architecture MCUGD32V series, which covers the fields of the Internet of Things, industrial control, and intelligent terminals.

The company will launch new series of wireless MCU, power 四川耍耍网 management chip and so on.

According to IHS Markit, the company ranks third in the Chinese MCU market with a market share of 9.

4%, ten years +3.
4pcts, second only to STMicroelectronics and NXP.
3) Siliwei started consolidation in June 2019. It is expected that the under-screen fingerprint chip will expand smoothly at Huawei, and the expansion is expected to exceed 15 million.

The company has also made progress in the development of large-area TFT products and MEMS ultrasonic fingerprint sensors.

R & D investment continues to increase, and vigorously promote the industrialization of DRAM.

2019Q3 company R & D expenses1.

30,000 yuan, +71 a year.


The continuous technical research and development momentum is full.

On October 1st, the company issued a plan for non-public offering of shares, and plans to raise funds43.

24 megabyte DRAM chip research and development and industrialization project, research and development of DDR3, LPDDR3, DDR4, LPDDR4 series DRAM chips under 1Xnm level (19nm, 17nm) process.

The company continues to promote DRAM projects, penetrate the mainstream memory chip market, and catalyze the domestic replacement of storage. It is of great significance and has long developed into a domestic leader in high-end general-purpose storage.

Risk factors.

DRAM and other product development risks; market development risks; market potential risks.

Earnings forecast, estimation and investment grade: The company is a domestic high-quality company with coexisting storage chips, MCUs, and under-screen fingerprint recognition design capabilities. The DRAM project has opened up hundreds of billions of medium and long-term space.

As the company’s third quarter results exceeded expectations, we raised the company’s EPS forecast for 2019/20/21 to 2.



36 yuan (pre-adjustment forecast 1).



07 yuan).

The company has a CAGR of 38 for three years.

7%, considering the high growth of the business, maintain the “Buy” rating.

Gemdale Group (600383) July 2019 sales data review: sales are steady

Gemdale Group (600383) July 2019 sales data review: sales are steady
Event: Gemdale Group announced sales data for July, and the company achieved a contract amount of 147 in July.9 trillion, a ten-year growth of 7.6%; 69 signing area achieved.80,000 square meters, an increase of 19 in ten years.7%.From January to July, the company gradually realized the contracted amount of 1,003.80,000 yuan, an increase of 30 in ten years.7%; area of 497 signed gradually.80,000 square meters, an increase of 14 in ten years.7%; from January to July, the company added 587 new construction surface.20,000 square meters, a 10% increase over ten years; the total land price is 417.800 million, a decline of 23 per year.2%. Comments: The company is stable in July, + 8% per year, the first-tier and second-tier layout + fully sellable to promote the sales elasticity coefficient.900 million, down 29.3%, an annual increase of 7.6%; 69 signing area achieved.80,000 square 深圳丝袜会所 meters, a decrease of 35.3%, an annual increase of 19.7%; average sales price of 21,189 yuan / flat, an increase of 9 from the previous month.3%, a decline of 10 per year.2%.From January to July, the company gradually realized the contracted amount of 1,003.8 percent, an increase of 30 per year.7%, an increase of 5pct from January to June; the cumulative contracted area reached 497.80,000 square meters, an increase of 14 in ten years.7%; the cumulative average selling price is 20,167 yuan / square meter, an annual increase of 13.9%.Since the company’s total soil reserves only increased by about 300 per year in 14-16, the current round began to replenish stocks vigorously in 2017H2, and the land acquisition amount accounted for 74% in the second half of the year. Therefore, 18H1 started to accelerate, and 18H2 available for sale gradually accumulated.Acceleration has accelerated, and the company’s sales have continued to rise since September 18.Under the expectation of loosening the industry’s policy adjustment margins in 2019, the company’s adherence to first-tier and second-tier cities and active construction will result in a comparative advantage in terms of saleability and sales flexibility. In July, the company acquired 6 projects in Ningbo, Wenzhou, Guiyang and other cities in the land market.In July, the company added 35 new facets.60,000 square meters, down 78.1%, a year-on-year decrease of 30%; corresponding to the total land price of 21.300 million, down 73.4%, a drop of 68 per year.4%; Land acquisition amount accounts for 14% of sales amount.4%, compared with 50 in the previous year.8% down 36.4pct; average floor price is 5,990 yuan / square meter, an increase of 21 from the previous month.7%, a decline of 54 per year.9%, a decrease of 37 from 9,529 yuan / sqm.1%, taking the average price of land as a percentage of the average monthly sales price of 28.3%, compared with 51 the previous year.5% down 23.3 points.From January to July, the company added a total of 587 planned areas.20,000 square meters, an increase of 10% in ten years; corresponding to a total land price of 417.800 million, down 23 a year.2%, taking up land accounts for 41% of diesel.6%, up from 50 the previous year.8% down 9.2pct; the average floor price was RMB 7,116 / sqm, and then dropped by 30.2%, taking the average price of land as the average selling price of 35.3%, compared with 51 the previous year.5% down 16.2pct.At the average selling price 2.The growth of the company ‘s newly added goods in the first seven months was RMB 1,184 trillion, which was higher than the sales of RMB 1,004 trillion in the same period. Investment suggestion: stable sales, reduced land acquisition, and maintain a “strong push” rating. Gemdale Group, as one of the old-fashioned leading real estate companies, has a 30-year stable history and a high proportion of insurance capital.Under the low sales base of 18 years and the commencement of active sales, the company has better sales flexibility in 19 years and has been continuously verified.At the end of 18H1, 89% of the unsettled area was on the first and second tiers, with advance receipts covering a high of 1.5 times and at least 16-17 years of high-priced projects to ensure that the future settlement volume rises.We maintain the company’s profit forecast for 2019-21 to 2.24, 2.69 yuan and 3.17 yuan, corresponding to 19 years of PE only 5.3 times, the 18-year dividend yield is as high as 5.0%, and we believe the company’s future performance release capability is strong, maintaining a target price of 17.76 yuan, maintaining the “strong push” level. Risk reminder: Real estate industry policy tightens more than expected

Vanke A (000002): The efficient growth of performance shows the king style

Vanke A (000002): The efficient growth of performance shows the king style

Core Views The company released three quarterly reports. In the first three quarters of 2019, it realized revenue of 2239 trillion, an increase of 27%; realized net profit attributable to mothers of 18.2 billion, an increase of 30%; earnings per share1.

63 yuan, slightly higher than expected.

In the context of tightening real estate financing, the company’s operating and financing advantages are prominent, and it is expected to grasp the possibility of land market and acquisition and acquisition; the main layout of the first and second tiers will benefit from the reduction in demand from key cities.

Increase earnings forecast, EPS is expected to be 3 in 2019-2021.

64, 4.

39, 5.

27 yuan, maintain “Buy” rating.

Accrual depreciation does not change performance growth, and the increase in settlement volume promotes the release of 16.4 million square meters of completed area from 1-3Q, + 6% over the same period, maximizing settlement area +13.

6%, settlement income + 27% per year.

Real estate business settlement gross margin 27.

6%, slightly decreased by 0 every year.


According to the company’s semi-annual report, the growth rate of the initially completed area is expected to reach 11.

At the end of the third quarter, the unsold amount at the end of the third quarter maintained a growth rate of 20%, laying a foundation for the gradual settlement of revenue growth.

In the past three years, the proportion of the company’s floor price to the average sales price was constant at about 40%, ensuring a stable forward gross profit margin. At the same time, 1-3Q Company made provisions for inventory depreciation11.

400 million, affecting performance7.

800 million. Last year, due to the provision of inventory depreciation, it affected the performance of 600 million. The company’s market strategy is prudent and a footnote for the sustainable growth of future performance.

Sales growth led the TOP3, with ample deposits. Expected steady 北京桑拿洗浴保健 growth. The 1-3Q company mainly strengthened the elimination of inventories, with a new start of 32.43 million pings, an interval of -11%, which was narrower by 5 pct than the mid-term.

17H2-18H2 continued to grow at a rate of up to 40% during the first ten years of new construction. The roll-in value is abundant. The area under construction excluding the sold part at the end of Q3 was 6114 all-round, which was + 15% compared with the end of last year.

The sales growth rate continued to lead the TOP3 real estate enterprises in real terms. The sales area of 1-3Q reached 30.62 million square meters, an annual increase of + 6%; the sales amount reached 475.6 billion yuan, an annual increase of + 10%, and the market share reached 4.

3%, +0 for earlier 18 years.

The company’s deep farming ability is outstanding, and we expect the company’s gradual sales to maintain steady growth.

Benefiting from the gradual and positive development of financing tightening, the increase in the proportion of first and second tiers and equity, the land market was hot in the first half of the year, the company moderately reduced the speed of land acquisition, and the tightening of financing since 5 months, the company gradually turned to active development.

The first three quarters of development projects added 28.32 million square meters of construction area, -20% per year; the total land acquisition price was 191.8 billion US dollars, -12% per year; the intensity of land acquisition was 40%, which was -1 higher than last year.

5pct, from May to September, the land holding intensity has risen to 52%.

In the first three quarters, the equity of newly acquired land projects reached 72%. According to the equity investment quota, the proportion of first- and second-tier cities reached 81%. Continue to strengthen the layout of first- and second-tier cities and increase the proportion of equity.

The total saleable area is about 1.

200 million cubic meters, + 4% compared to the end of 18.

The financing advantage has helped to strive for growth, and maintaining the “buy” rating of the company’s stock bond financing has obvious advantages. The September issue of 2.5 billion housing lease special debt interest rates was only 3.

55%, short-term financing rate is only 3.


In the third quarter, Anbang reduced its holdings by 1.

9% equity, Qianhai and Li Shenghua reduced their holdings by 1.

3%, we believe that the short-term impact of holdings does not change the long-term development space, and it is recommended to grasp the layout changes brought about by short-term effects.

Based on the carry-over situation, we raised our forecasted revenue and raised EPS to 3 in 2019-2021.

64, 4.
39, 5.
27 yuan (previous value was 3.

62, 4.

17, 4.

78 yuan).

Refer to comparable companies for July 2019.

The 29 times price-earnings ratio is estimated. Based on financing advantages, reserve quality, leading company premiums, and diversified business blessings represented by Vanke Property, we think the company’s reasonable 2019 price-earnings ratio is 9-10 times, and the target price is 32.


40 yuan (previous value was 32.


20 yuan), maintain “Buy” rating.

Risk reminder: industry policy and fundamental risks; Anbang, Tong Shenghua and those acting in concert reduce risk.

Huiding Technology (603160): Ultra-thin fingerprint identification available for 5G mobile OLED display

Huiding Technology (603160): Ultra-thin fingerprint identification available for 5G mobile OLED display

Event Overview ① According to the latest forecast of Counterpoint, the sales of OLED smartphones will exceed 6 billion units in 2020, an increase of 46%; ② Huiding Technology’s official website revealed that the world’s first 5G mobile phone equipped with ultra-thin screen optical fingerprint solution OnePlusThe 夜来香体验网 7T Pro 5G McLaren Edition is officially on sale through the US operator’s sales network.

Analysis and judgment: OLED display mobile phones have accelerated penetration, and optical fingerprint recognition chips under the screen are still growing at a high speed.

The company is the pioneer of under-screen optical fingerprint recognition and has become the global leader in fingerprint recognition chips.

According to the company’s official WeChat data, as of December 26, 2019, the company’s under-screen optical fingerprint recognition has obtained 101 brand budget businesses.

Counterpoint predicts that due to the increase in OLED mid-range smartphone products priced between $ 300 and $ 500, global OLED display smartphone displacement will exceed 6 billion units by 2020.

We believe that the optical fingerprint recognition chip under the screen will increase with the expansion of OLED display mobile phones, and the growth path is clear.

The thickness of ultra-thin products is only one tenth of the previous generation, and 5G mobile phones will have sufficient volume advantages in the process of popularization.

5G mobile phones will be “standard” with multiple cameras, capacity batteries, and better screens, but complex antenna designs and component performance upgrades will place higher demands on the phone’s internal space.

The company pioneered the use of ultra-optical design to bring about an order of magnitude reduction in chip solutions. The module thickness is less than 1/10 of the previous generation. At the same time, it does not need to mount a screen, and has better anti-electromagnetic interference performance to reduce mass production by terminal manufacturersBusiness difficulties.

We believe that the company’s ultra-thin fingerprint products will be launched on the market. Based on the technology upgrade, the differences will be further opened up and subdivided to maintain the competitiveness of the company’s core products.

Deeply cultivate the three product lines of intelligent mobile terminals, the Internet of Things, and automotive electronics, expanding human-computer interaction, biometrics, and the Internet of Things platform.

In terms of wireless headphones, the company can provide the industry’s lowest, smallest volume in-ear detection sensor, and provide touch functions. The two-in-one solution has achieved large-scale commercial use.

The car touch solution has been commercialized on GM brand models, and the car-grade fingerprint solution has been introduced into mass production at the same time as mainstream car manufacturers.

M & A for NXP VAS (Voice and Audio Solutions) business is also progressing steadily.

In addition, the company disclosed in the report of the investor exchange meeting in the third quarter of 2019 that the company spends half of its research and development expenses on new products, which will form a strong support for future revenue and gradually drive the company to become a platform-based IC design giant.

The investment proposal is aimed at the company’s high-end products with obvious leading advantages, the price of products is slow, and the maintenance period of high gross profit margin is expected to be longer.
Revenue in 2021 is 65/80/101 trillion; net profit attributable to mothers is 23.



50,000 yuan, the corresponding EPS is 5.

22 yuan, 6.

28 成都桑拿网 yuan, 7.

69 yuan.

Maintain target price of 292.

2 yuan unchanged, maintain “Buy” rating.

The risks indicate the macroeconomic growth rate and systemic risk; the expansion speed of the fingerprint recognition under the screen is lower than expected; the company’s new product development progress is gradually expected; the intensified competition in the industry leads to the rapid decline of product prices.

Anhui Heli (600761) Interim Report Review: Interim Report Results Meet Expectations, Company Sales Lead Industry

Anhui Heli (600761) Interim Report Review: Interim Report Results Meet Expectations, Company Sales Lead Industry

The company released its 2019 Interim Report and achieved operating income of US $ 5 billion in the first half of the year, a continuous decline1.

4%; net profit attributable to mother 3.

500 million, a year down 0.


The sales volume of the business analysis industry was under pressure, and the company’s sales growth rate was 9.

5% leading industry, market share remains the first According to the statistics of the association, the industry’s sales of forklifts in the first half of the year were 310,000 units, which fell by 0 every year.

3%, domestic 23.

50,000 units, an increase of 3% in ten years; exports 7.

20,000 units, down 10% a year.

The Chinese market and the US market are the first and second largest markets in the world for industrial vehicles, respectively. The uncertainty of trade protectionism and economic development has led to internal and international investment in related companies, and procurement expectations have declined.

In the first half of the year, the company’s sales continued to increase in the first half of the year, despite the industry’s negative growth.

5%, the domestic market sales increase by 6% per year, and the export volume increases by 23 per year.


Domestic market share is 27.

2%, maintaining the number one position in the country.

The 2019 interim report results are compounded by expectations, with a 杭州桑拿网 higher gross profit margin and improved operating conditions. The company’s gross profit margin for the first half of 2019 was 21.

81%, an increase of 1 each year.

88 points; sales / management / R & D expense ratio 4.

52% / 3.

17% / 5.

09%, increasing by 0 every year.



93 points.

The company achieved net operating cash flow in the first half of 20192.

300 million, an annual increase of 46%.

The leading advantages of forklift trucks are solid, R & D expansion, and innovative layout drive the company’s future growth. The company continues to increase R & D investment (R & D expenses increased by 59 in the first half of 2019.

05%), accelerate the research and development of mid-to-high-end forklifts, expand the lithium battery, storage, and AGV product varieties; combine the operation of integrated technology development systems, and accelerate the research of basic technologies such as new energy and intelligent safety.

The company has deployed electric forklifts (acquired Ningbo Lida + Baoji electric forklifts to expand production), and has continuously strengthened its upstream component capabilities and overseas markets (cooperated with Germany’s ZF, and deployed in emerging markets in Southeast Asia) to drive a new round of growth.

Profit forecast and investment advice With the continuous development of the logistics industry and the increase of labor costs, the density of forklifts is also expected to further increase.

In the future, industry leaders are expected to establish their own barriers through continuous upgrades in scale, electrification and intelligence to increase the city’s share.

It is expected that the company’s net profit attributable to its mother will be 6-2021.



600 million, corresponding to PE is 11/10/9 times.

Given a 12x PE estimate in 2020, the target price for June-December is 11.

2 yuan / share, maintain “Buy” rating.

Risks suggest that manufacturing investment has fallen sharply; forklift exports have fallen due to Sino-US trade friction; and raw material costs have risen.

Liugong (000528) 2018 Annual Report Comments: Performance Meets Expected Revenue Hits Record High

Liugong (000528) 2018 Annual Report Comments: Performance Meets Expected Revenue Hits Record High

Event: On April 2, 2019, the company released its 2018 annual report and achieved revenue of 180.

8.5 billion, +51 a year.

48%, a record high, the previous high was 178 in 2011.

7.8 billion; net profit attributable to mother 7.

900 million, previously +127.


Looking at Q4 alone, revenue was 46.

1.9 billion, +42 a year.

84%, net profit attributable to mother 0.

7.5 billion, previously +71.

46%, net cash flow from operating activities.

5.7 billion.

Opinion: Performance is in line with expectations, and revenue hits a record high.

① Internal control has been continuously strengthened.

Expense rate totals 15.

88% a year -1.

24 points; ② Profitability improved.

Gross profit margin 22.

81%, a slight decrease of 0 every year.

09pct, in this context, the net interest rate is 4.

65%, increase by 1 every year.

79 points, profitability was further improved; ③ asset turnover was accelerated, and operating quality was optimized.

Inventory turnover days and accounts receivable turnover days replaced 117 days and 63 days, respectively, reaching the lowest level in the past five years; operating cash flow6.

3.4 billion. Overall, the operating quality has been further optimized.

In 2018, the market share of earthmoving machinery continued to increase, and total revenue hit a record high.

① Excavator sales exceeded 10,000 units, and the company’s market share increased by 1.

13 points.

Affected by the growth of infrastructure investment and equipment updates, the total sales volume of the excavator industry in 2018 reached 203,420 units, an increase of 45% over the years, a record high.

In the context of the high economic prosperity of the industry, the company’s market share of excavators has continued to increase. In 2018, the company sold 14,159 units, an annual increase of + 78%, and its market share reached 6.

96%, increase by 1 every year.

13pct, ranking fifth in the industry.

② The maximum loader is + 40%, and the city share is increased by 2.

Through channel improvement, improvement of user experience, and optimization of product structure, the company achieved a 40% increase in loader sales and an increase in its share 2.

3 units.

③ Revenue hit a record high, with earthmoving machinery accounting for 72.


In 2018, the company achieved revenue of 180.850,000 yuan, +51 for ten years.

48%, surpassing the previous high of 178 in 2011.

7.8 billion, a record high, of which the earthmoving machinery segment achieved revenue of 130.

84 ppm, an increase of 61 in ten years.

33%, accounting for 72.

35% is the company’s main source of income.

The company’s internal control capabilities have been enhanced, profitability has been improved, and operating quality has been optimized.

① The company strengthened internal control, and the expense ratio decreased during the period.

The 上海夜网论坛 company strengthened the cost control, during which the expense ratio continued to decline from 2015, from 24 in 2015.

58% down to 15 in 2018.

88%, ranking 1 drop every year in 2017.

25 units.

② The profit level has been improved and the operating quality has been optimized.

In 2018, the company’s gross profit margin was 22.

81%, a slight decrease of 0 every year.

09pct, in this context, the net interest rate is 4.

65%, increase by 1 every year.

79 points, profitability has been further improved. The company continued to improve its internal marketing credit system, effectively control credit risk, and improve financing sales efficiency.

Inventory turnover days and accounts receivable turnover days replaced 117 days and 63 days respectively, reaching the lowest level in the past five years, and operating cash flow6.

3.4 billion. Overall, the operating quality has been further optimized.

Investment suggestion: It is expected that the company’s net profit attributable to its mother in 2019-2021 will be 11.


26, 14.

29 trillion, an increase of 46 each year.

53%, 14.

52%, 7.

75%, the corresponding EPS is 0.

79, 0.

90, 0.

97, corresponding PE is 10, 9, 8 times, maintaining the “strongly recommended” level.

Risk reminder: The shortcomings of infrastructure repairs have fallen short of expectations, investment in fixed assets has expanded significantly, and market competition is fierce.

Antarctic e-commerce (002127): Brand authorization builds core advantages, new category expansion, high growth expected

Antarctic e-commerce (002127): Brand authorization builds core advantages, new category expansion, high growth expected

This report reads: The company adopts the brand licensing model, its products focus on cost-effectiveness, enjoy e-commerce + low-end market dividends, diversified categories, promote rapid growth of GMV, and give it an overweight rating for the first time.

Investment points: Overweight rating for the first coverage: EPS is expected to be 0 in 2018-2020.



65 yuan, with a growth rate of 66% / 37% / 32%, giving the company 26 times PE in 2019 with a target price of 12.

98 yuan, the first coverage given an overweight rating.

E-commerce continued to penetrate, and the purchasing power of low-tier markets increased: From 2011 to 2017, the compound growth rate of domestic online retail sales reached 37%, and the potential for online shopping in low-tier cities is still being released., Higher than first and second tier cities.

With the gradual penetration of e-commerce into low-tier cities, the per capita purchasing power of low-tier consumer groups has increased, the frequency of online shopping in first- and second-tier cities has increased, and the online market is expected to continue to maintain high growth.

Empowering the upstream and downstream, the product is cost-effective, and the monetization rate is expected to stabilize: 1) The company empowers the upstream and downstream through the brand authorization model, integrates excess capacity in the upstream, and provides stable orders; 2) achieves efficient operation capabilities for downstream dealers,The strength of its own well-known brands, coordinated negotiations, and unified planning to achieve the wolf pack effect.

The company’s products are mainly cost-effective, with high-quality products in the same price range. Under the high growth of GMV, the monetization rate has gradually transformed into a new brand scale and a healthy lifestyle product scale.

The Sanduo strategy promotes the rapid growth of GMV and creates a large brand of national life in multiple categories: the company adopts a strategy of multiple platforms, multiple categories, and multiple brands.

Deployed on mainstream e-commerce platforms such as Ali, Jingdong, Pinduoduo, and fully enjoyed e-commerce dividends.

In addition, in addition to the continued advancement of strong products 杭州桑拿网 such as underwear, home textiles, and men’s clothing, the company has stepped up its efforts to promote healthy lifestyle products. Through the increase in the proportion of new categories, the company’s high GMV growth is sustainable.

Risk warning: brand influence declines, e-commerce growth rate, brand and channel expansion are less than expected.

Liangxin Electric (002706): Increasing R & D Layout, Future Revenue Growth Attempts to Rebound

Liangxin Electric (002706): Increasing R & D Layout, Future Revenue Growth Attempts to Rebound
Affected by the economic growth rate, the annual growth rate of revenue has declined year by year. Impairment losses have affected the profit of Q4. The company published its 2018 annual report and realized revenue of 15.74 ppm, a ten-year increase of 8.38%, of which Q4 realized income 3.48ppm, Q1-Q4 quarterly revenue growth rate was 13 respectively.82%, 11.00%, 7.61% and 1.The growth rate of income decreased by 45% quarter by quarter, mainly due to the effects of macroeconomic fluctuations, land allocation policies and the “531 New Deal” for photovoltaics, and total downstream demand.The company headquarters realized net profit attributable to mother 2.22 ppm, a five-year increase of 5.60% of net profit of non-returned mothers1.81 ppm, a ten-year increase of 8.00%, of which Q4 realized net profit attributable to mother only 2.21 million yuan, and a significant decrease of 91.87%, the initial estimate is the impact of increased income, the inclusion is that Q4 single-quarter accrual impairment loss reached 10 million (including goodwill impairment of 4.9 million yuan).The company’s senior management realized net operating cash flow2.6.2 billion, a previous major increase of 52.93%, reflecting the company’s solid operating capabilities. The gross profit margin reached a new high, increasing the investment in R & D. In the future, the company’s gross profit margin will reach 40 in 2018.84%, an increase of 2 per year.2pct, a new record high, with gross margins of 43 for terminal and distribution appliances.74% and 41.56%, increasing by 2 each year.69 and 2.01pct, the increase in the proportion of high-margin dual power transfer switches and changes in raw material prices are primary, and it also reflects customers’ higher awareness of the company’s products.The company’s maximum expenses total 26.71%, an increase of 1 per year.87pct, mainly due to the significant increase in research and development costs.The company incurs up to R & D expenses1.390,000 yuan, an increase of 32 in ten years.23%, R & D expense ratio reached 8.84%, an increase of 1 per year.59 points.While continuing to expand the scale of product upgrades, the company is actively deploying high-voltage DC contactors and smart home products to lay the foundation for future business expansion. Absolute impact is reduced, business development is expected to open up a new situation. In 2019, the overall real estate policy will remain stable as a whole. The company’s real estate industry revenue is expected to continue to increase in key major customers Country Garden, China Shipping and China Happiness.In 2019, the photovoltaic policy is gradually correcting, wind power installed capacity has been steadily improved, and the company’s new energy industry business will steadily recover.2019 is the start-up year for 5G construction, and the company’s communications products promote continued benefits.The company began to build a Haiyan base in 2019, mainly producing components and electronic products, molds, and injection molded parts for low-voltage electrical appliances, which will effectively enhance the company’s overall industrial chain layout and overall profitability. Investment suggestion As a domestic leader in the field of high-end and low-voltage electrical appliances, the gap between the company’s technical level and international brands has gradually narrowed, and the advantages of prices and services have gradually emerged, and the prospect of domestic substitution is optimistic.We estimate the company’s net profit attributable to its parent to be 2 in 2019-2021.77, 3.37 and 4.160,000 yuan, an increase of 25 in ten years.0%, 21.4% and 23.4%, corresponding to 19, 15 and 12 times the current expected PE.Considering the company’s industry synthesis in the field of domestic 杭州夜网论坛 mid-to-high-end low-voltage electrical appliances and the company’s estimated situation in the industry, the company’s compound growth rate for the 2019-2021 three-year period22.5%, giving the company a PEG equal to 1 corresponding to a 23x 2019 valuation, and a reasonable value of 8 was determined.05 yuan / share, maintain “Buy” rating. Risks prompt macroeconomic growth rate; real estate industry policy adjustments; new energy investment is less than expected.

Zoomlion (000157): Interim report performance forecast exceeds expectations and raises profit forecast

Zoomlion (000157): Interim report performance forecast exceeds expectations and raises profit forecast

Interim report performance forecast exceeded expectationsOn July 12, Zoomlion announced that it would report net profit attributable to the parent twenty four?

2.7 billion yuan / year + 171?
212%, EPS is about 0.


34 yuan.

The demand for construction machinery market is strong, the company’s competitiveness continues to improve, and profitability is repaired, which is the primary reason for rapid growth in performance.

We raise our forecasted profit forecast. Expected in 2019?
EPS is 0 in 2021.



71 yuan (the original value is 0.



56 yuan), PE is 10.



9 times.

The average PE of companies in the same industry in 2019 was 11.

33 times, CAT for overseas leader is 12.

21 times, we believe that the company’s two main products, cranes and tower cranes, may maintain a relatively rapid growth rate. The performance growth rate is trying to continue to lead the industry and adjust the target price to 6.

twenty four?

76 yuan, corresponding to 12 in 2019 PE.



0x, maintain “Buy” rating.

The three major reasons for the performance exceeding expectations: strong product demand, increased competitiveness, and profitability. The reasons for the performance exceeding expectations were summarized as: 1) strong demand in the real estate and infrastructure downstream industries, strong market demand in the construction machinery industry, company concrete, cranes and other productsSales continued to grow at a rapid rate, leading the construction machinery industry in the first half of the year. According to data from industry associations, the sales volume of the concrete pump truck industry increased by more than 100%, the sales volume of the mixer truck industry increased by more than 25%, and the mixing station 厦门夜网 industry increased by 30%.The sales growth rate of the automobile crane industry exceeds 50%; tower cranes benefit from the demand for prefabricated construction, and the annual growth rate is more than 100%.

2) The company’s core products are concrete pump trucks, tower cranes, engineering cranes, etc. 4.

The market coverage of 0-series products has increased, and market competitiveness has been further strengthened.

3) The company continued to strictly control the cost. As the sales scale increased, the expense ratio decreased rapidly.

Torquay builds real estate, which has a neutral impact on the overall demand of the construction machinery industry. We believe that infrastructure investment is still the main support for demand in the second half of the year. According to the report of Huatai’s fixed income team,武汉夜网论坛 “the method is more difficult than difficult, but do n’t think too much” (20190611)It is estimated that with the landing of special debt funds, infrastructure investment will increase by 1.

For 7 units, demand for infrastructure-related products such as small excavations and cranes will remain high; affected by the actual trust tightening policy, it will have a certain impact on real estate investment. Demand for related products such as concrete pump trucks may increaseThe improvement narrowed.

On the whole, the absolute scale of the sales volume of the construction machinery industry will remain high, and the growth rate will fluctuate within a small range.

Increase the profit forecast and maintain the demand of the purchase-grade construction machinery industry continues to exceed expectations. The growth rate of concrete equipment, truck cranes, and tower cranes is much faster than that of the industry. We raise the company’s continuous performance expectations. Is it expected that 2019?
Net profit attributable to mother in 2021 is 40.


62 trillion, EPS is 0.



71 yuan (originally worth 0.



56 yuan), PE is 10.


9 times.

The average PE of companies in the same industry in 2019 was 11.

33 times, PE of overseas leader CAT is 12.

21 times, we believe that the company’s two main products, cranes and tower cranes, may maintain relatively fast growth rates, and the performance growth rate is expected to continue to lead the industry, so the company’s target price is adjusted to 6.


76 yuan, corresponding to 12 in 2019 PE.


0x, maintain “Buy” rating.

Risk warning: The domestic economy is down faster than expected; the growth rate of infrastructure investment has not increased as expected, and real estate investment has continued to narrow; the industry’s competitive environment has deteriorated; the market for new products has not expanded smoothly; the asset impairment loss caused by accounts receivable gradually causedThe impact of profits.

Hikvision (002415): Second quarter resumes rapid growth

Hikvision (002415): Second quarter resumes rapid growth

The growth of offshore and engineering construction is slow: the company’s first half revenue and net profit attributable to mothers were US $ 23.9 billion and US $ 4.2 billion, respectively, + 15% and 2%, better than market expectations.

The growth of the smart home business and other innovative businesses is more than 50% each year, and the growth of the central control system is 25%. It must show that the company’s intelligent products continue to develop healthily, and the construction area of the project must be reduced by more than half because the revenue and cost of PPP projects are reduced.

Overseas revenue increased by 10%, which was slower than domestic growth, mainly due to factors such as trade frictions and fluctuations in overseas exchange rates.

The gross profit margin continued to increase, and the net profit margin has room for improvement: in the second quarter, the company’s single-quarter revenue was 14 billion yuan, a growth rate of + 21%, and the net profit of the mother company was 26.

8 ‰, + 15% a year, recovering rapid growth.

The gross profit margin in the second quarter rose to more than 47%, the highest level in a single quarter since the second half of 2014.

However, due to the sales expense ratio, the R & D expense ratio has remained at a high level. The profit growth rate of some of the high tax burden subsidiaries is higher than the overall profit growth rate of the company. It is recognized at a higher level of more than 18%.At 20%.

We believe that the continuous increase in the scale of the conversion company’s revenue and the return on income tax rates to a normal level below 15%, there is room for improvement of the net profit attributable to the parent.

In order to ensure the safety of the supply chain, the company proactively raised the inventory level to more than 86 ‰, an increase of about 50% from the same period last year.

With the significant improvement in inventory, the company’s operating net cash flow performance was excellent, comparable to the net profit attributable to mothers.

The market overestimates the impact of trade frictions on Haikang: mutual replacement of consumer electronics such as mobile phones, and it is normal for products to be gradually supplied by different vendors before security. Core components such as security front-end SoCs and CIS do not require cutting-edge processes.Domestic production has been basically realized, and only some products such as X86 server CPUs and GPUs have import substitution redundancy. The security industry is less affected by trade frictions.

Demand continues to improve: The state began to promote special debts of local governments in June, and the local government’s financial efforts have been enhanced, thereby driving the Xueliang project to advance rapidly in the last 1-2 years of the 13th Five-Year Plan.

Vision is the most important way to obtain human information. Intelligentization allows cameras not only to play a role 武汉夜网论坛 in security, but also an important means to improve efficiency. ETC and waste sorting that have been vigorously promoted by the country recently require a large number of smart cameras to be installed.Outstanding earnings financial forecast and investment advice We predict that the company’s EPS in 19/20/21 will be 1.



14 yuan, based on a 25-year PE estimate given to the company by a comparable company for 19 years, the corresponding target price is 36.

25 yuan, maintain BUY rating.

Risks suggest that the macroeconomic development is less than expected, the implementation of the Xueliang project is less than expected, overseas business, innovative business, parts supply may be at risk, and competition may be intensified.