Jiangxi Copper (600362): Take a step of double innovation in three years to acquire gold listed target

Jiangxi Copper (600362): Take a step of “double innovation in three years” to acquire gold listed target

Event: The company issued the “Outbound Investment Announcement”, which intends to acquire approximately 2 of the Hengbang shares held by multiple shareholders including Hengbang Group and other shareholders through agreement transfer.

7.3 billion shares, accounting for 29 of the total shares of listed companies.

99%, the transfer price is about RMB 29.

7.6 billion.

After the transaction is completed, Jiangxi Copper will become the controlling shareholder of Hengbang.

The injection of high-quality gold assets will soon establish a gold listing platform.

The acquired Hengbang Co., Ltd. is a listed company whose main business is gold exploration, smelting and chemical production. Its main products include gold, silver, electrolytic copper, lead, sulfuric acid, ammonium phosphate and other fertilizer 都市夜网 products.

Judging from the output of various products, the company completed gold production in 201738.

5 tons, silver 550.

83 tons, electrolytic copper 14.

43, sulfuric acid 122.

08 initial.

From the perspective of gold reserves, Hengbang currently has 16 gold mining rights and 21 exploration rights, with a proven gold reserve of approximately 112.

01 tons, accounting for about 5 of the national gold reserves.


The acquisition of Hengbang shares will allow Jiangxi Copper to stabilize its domestic copper industry leader, further expand the precious metals sector, and establish a gold listing platform.

Hengbang’s five-year compounded net profit compound growth rate reached 10%, and its performance achieved steady growth.

According to the “2018 Results Express” issued by Hengbang, Hengbang achieved operating revenue of 21.2 billion in 2018, an increase of 7%.

21%, net profit attributable to mothers was 40,000 yuan, a year-on-year increase of 1.

49%, five-year composite strength of 10%.

According to the acquisition of equity, it is expected to bring 1.

Equity income of US $ 200 million, under which Jiangxi Copper achieved a net profit of 1.6 billion attributable to mothers in 2017. This asset injection will significantly increase the company’s net profit attributable to mothers.

The Jiangxi Copper Group’s “three-year innovation and doubling” tackling action plan indicates that the company’s growth can be expected.

On November 2, 2018, the company consolidated the “three-year innovation multiplication” mobilization conference to formally start the “three-year innovation multiplication” battle.

According to the action plan, the company will adhere to the “copper-oriented, strong non-ferrous, diversified development, global layout” strategy and the “innovative leadership, green development, leading the copper industry, and expanding opening” working principles, and strive to reach 2021It has doubled sales revenue and doubled its reserved resources. It has become the world ‘s largest copper smelter and copper processing company, striving to break through 10 billion yuan in profits and taxes, and its sales revenue is among the top five in the world ‘s mining industry.

The merger and acquisition of listed company platforms is a positive signal for the development of Jiangxi Copper Group’s acquisition of the capital market.

The supply and demand gap of copper mines has gradually expanded, and the loose macro environment has improved the copper price recovery.

From the perspective of copper ore supply, the top 8 ore copper nations only released federal gold on it.

We estimate that the gap between copper supply and demand will be 35 in 2018-2020.

76, 38.

4, 34.

56 samples, the gap between supply and demand slightly expanded.

At the same time, the China-US trade war has reached substantive progress, and the United States has postponed its original tariff measures for March.

Copper prices are expected to recover due to the market’s favourable substitution and the gradual expansion of the supply-demand gap brought about by the easing of the trade war.

Earnings forecast: Due to the uncertainty of the acquisition, we temporarily maintain our previous earnings forecast.

What do we expect in 2018?
Net profit attributable to mothers will be 27 in 2020.

9.6 billion, dynamic PE is 20/18/16 times.

Risk warning: Failure to acquire Hengbang shares; macro environment is less than expected; copper demand is less than expected.

China Merchants Securities (600999) company regular report comment: 18 years of performance restructuring interbank supplementary capital will help business transformation

China Merchants Securities (600999) company regular report comment: 18 years of performance restructuring interbank supplementary capital will help business transformation

The initial return to performance was attributed to the 18-year increase in program fee and commission income and net interest income to the parent’s net profit of 4.4 billion yuan, an increase of 24% year-on-year.

The initial performance return is due to a decrease in litigation fees and commission income and net interest income (replacement of accounting plan adjustments affect the actual -65%).

At the end of the period, the shareholders’ equity attributable to the parent company was 8.07 million yuan, a year-on-year increase of 1.

88%, average average return on equity is 5.

58%, a decrease of 2 from 17 years.

81 units.

The net income of agency trading continued to be stable, and the asset management business grew steadily over the past 18 years. The net fee and commission income was 6.4 billion yuan, YOY-19%.

1) The net income of the securities business of agency trading is ranked seventh, which is the same as in 17 years, and the commission rate is 33.5, so the industry average (0.


Brokerage business procedure fee net income was 3.2 billion, a year-on-year increase of 22%. In the fourth quarter, the single-quarter income was 600 million, a quarter-on-quarter.

2) Affected by the scale of equity financing (IPO + refinancing raised 18.1 billion yuan, YOY-49%), investment bank net income14.

460,000 yuan, an increase of 34% year-on-year, 4 in the fourth quarter.

200 million, -5% from the previous quarter.

3) The net income of asset management was 120,000 yuan, a year-on-year increase of 5%, and the fourth quarter was 5.

3.5 billion, + 100% MoM.

At the end of the period, China Merchants Asset Management actively managed a scale of 2313 trillion, a year-on-year increase of + 82%, and its structure was greatly optimized.

The self-operated business is expected to obtain positive income, which is attributed to the fixed-income self-operated investment business income for 18 years.

Among them, net investment income was 3.7 billion yuan, a year-on-year increase of 36%.

Net income from changes in fair value-6.

4.2 billion.

Mainly due to the increase in the company’s fixed income self-investment business income.

The size of Liangrong and stock pledges is relatively stable for 18 years and net interest income18.

46 ‰, a year-on-year increase of + 3%, mainly due to changes in the presentation method notified by the Ministry of Finance. In 2018, interest income from debt 南京夜网 investments and other debt investments (totaling US $ 1.2 billion) will affect the actual -65% of accounting estimates.

The balance of the stock pledged repo business to be repurchased is 38.8 billion, and the overall performance guarantee ratio is 220%, of which the balance of self-funded capital contribution is 22.8 billion, and the overall performance guarantee ratio is 255%.

The balance of Liangrong was US $ 38.7 billion, a 29% decrease from the end of 2017, and the overall maintenance guarantee ratio was 268%, with a market share of 5.


Cumulative credit impairment losses at the end of the period1.

21 ppm, Q4 accrues 0 in a single season.

2.4 billion.

Overall view: Both the policy environment and the market environment can be improved. It is expected that the company’s performance in 19 is expected to usher 四川耍耍网 in an inflection point.

The company is actively promoting stock repurchase programs for equity incentives (share stocks) or employee shareholding plans; it is planned to raise funds not more than 15 billion US dollars through a rights issue to seize the important development potential of the industry.

According to the profit data disclosed in the annual report, the 19-20 year profit forecast was adjusted from 54/62 million to 58/65 million.

Maintain the “overweight” rating.

Risk reminder: the policy falls below expectations; market risk risks; the risk of the company’s repurchase plan and rights issue plan being suspended, suspended or cancelled

Kailaiying (002821) company comment: Dingzeng helps long-term development of API + formulation integration, biological CDMO strategy is steadily advancing

Kailaiying (002821) company comment: Dingzeng helps long-term development of API + formulation integration, biological CDMO strategy is steadily advancing

Event: The company announced the 2019 non-public offering plan on July 20, 2019.

The proposed non-public offering does not exceed 2314.

10,000 shares, raising less than 2.3 billion yuan.

Basic situation of non-public offering: The amount of this non-public offering does not exceed 10% of the company’s total share capital, that is, it does not exceed 2314.

10,000 shares, and the raised funds shall not exceed 2.3 billion.

No more than 10 specific 天津夜网 objects, and the sale period is 12 months.

For the “Kelley British Life Science and Technology (Tianjin) Co., Ltd. one-stop service platform expansion project of innovative drugs”, “the construction project of biological macromolecule innovative drugs and preparations R & D and production platform” and “innovative drug CDMO production base construction project” threeA project, as well as replenishing liquidity.

Significance of non-public offering to the company: The strategic positioning of the fundraising investment project is mainly to consolidate and integrate the small molecule center CDMO business, while helping the company expand its business into the field of biopharmaceuticals and preparations CDMO.

In terms of business: strategically expand the CDMO business of biopharmaceuticals and expand its business scope.

Expand the production capacity of preparations, improve the company’s “API + preparations” one-stop service, and improve service competitiveness.

Further optimize the company’s financial structure and promote sustainable business development.

On the client side: After the business expansion of CDMO and CDMO for biopharmaceuticals, they can both meet the needs of emerging pharmaceutical companies and can also accept orders from customers of existing large pharmaceutical companies.

Return on investment of fund-raising projects: The company’s three fund-raising projects have a good overall return on investment, all of which have better economic benefits.

After the three projects are put into production, the total estimated annual income is 31.

1.3 billion, is expected to contribute net profit6.

3 billion.

From the perspective of the company’s historical fundraising projects, we believe that the probability of completion is high.

The company’s long-term investment logic remains the same: the company has carried out all-round deepening in the field of CDMO, large molecules, small molecules (API + preparation integration), CRO + CDMO integration, covering the various life cycles of drug development.

The company continues to increase investment in research and development and production capacity, laying a good foundation for long-term healthy development in the future and providing power.

With the current surge of innovative drugs, as the leader of the CDMO switching indispensable for the innovative drug industry chain, Gloriac is expected to usher in sustained and rapid development for several years.

Earnings forecasts and investment advice.

Regardless of additional dilution for the time being, we estimate that the company’s net profit attributable to its mother in 2019-2021 will be 5 respectively.

7.3 billion, 7.

6.9 billion, 10.

26 ppm, an increase of 33.

8%, 34.

1%, 33.


EPS are 2 respectively.

48 yuan, 3.

32 yuan, 4.

43 yuan, corresponding PE is 39x, 29x, 22x.

We believe that the company is a technology-driven domestic CDMO leader. Large customers have gradually stabilized and trust has gradually increased. Subsequent project reserves have also been formed, benefiting from the continuous advancement of the domestic MAH system.

In the next few years, the company is expected to achieve faster growth in the performance of commercialization projects, and equity incentives fully mobilize employees’ enthusiasm and full strength.

According to the implementation of the company’s daily major contracts, we believe that the company’s performance is more certain.

In the future, the cumulative investment capacity of expansion projects will be released, and long-term growth can be expected.

We expect the company’s performance growth rate in the next three years is expected to maintain a rapid growth of 30% -35%, and maintain a “Buy” rating.

Risk reminder: clinical stage project risk, commercial project risk, macromolecular CDMO strategy implementation exceeds expectations, and project issuance is less than expected risks.

Aerospace Development (000547): The rapid growth of company performance in Q1 2019 lays out the prospects for the information industry

Aerospace Development (000547): The rapid growth of company performance in Q1 2019 lays out the prospects for the information industry
Core points: 1.The event company released its 2019 first quarter report with revenue of 7.54 ppm, an increase of 43 in ten years.90%, net profit attributable to mother 1.30,000 yuan, an increase of 41 in ten years.58%, deducting non-net profit of 0.8 billion, a six-year growth of 6.40%, EPS is 0.06 yuan. 2.Our Analysis and Judgment (I) Inject new energy into information security and gradually achieve high growth. The company’s revenue and return to net profit for the first quarter of 2019 will increase significantly from the same period last year, increasing by 43 respectively.90% and 41.58%, net profit after non-deduction increases by 6.40%, the company’s main business operations maintained a good trend. 1) Growth in operating income: The Aerospace Kaiyuan completed at the end of 2018 and the production expansion of Nanjing’s first and second tier quarters have driven the company’s sales growth and become a new driving force for the company’s revenue growth. 2) Contribution of non-recurring gains and losses to net profit attributable to mother: 2554 gains from changes in fair value during the period.680,000 yuan, becoming the first quarter of the increase in net profit attributable to 天津夜网 mothers.The expected net profit after non-recurring gains and losses is basically the same as the same period last year, mainly due to the changes in the structure of the income carried forward in the first quarter compared to the same period last year, and operating costs (+72 each time).(59%) growth rate is higher than operating income. In addition, the investment income of Rui’an Technology decreased by 924 in this period.110,000 yuan. 3) Advance receipts, advance payments increase, and high performance can be expected: advance receipts 1 in this period.01 billion (previously +53.14%), advance payment 4.6.6 billion (previously +98.81%), reflecting the increase in the company’s orders, active production preparation, long-term performance and high growth can be expected. (II) The capital operation work has been vigorously promoted, 西安耍耍网 and the industrial layout has gradually been reorganized. Through continuous capital operations, the company has gradually formed an “endogenous” business based on electromagnetic technology engineering and military industry’s declared communication business as the basis, and network information security and microsystems as incremental business.+ Epitaxial “two-wheel drive development layout. In December 2018, the company completed the reorganization of the assets of Rui’an Technology, Aerospace Kaiyuan, and Yijian. The company built an integrated solution for network information security for the development of aerospace, and developed into an alternative foundation for the national team in the information security field.Complete the industrial and commercial registration of the micro-system technology company, and take a key step towards creating a micro-system industry development and technology traction platform and achieving key technologies and product breakthrough goals. (III) Improve corporate governance and optimize and upgrade the industrial structure. In 2018, the company completed the reduction of Yanqiao scholars and the transfer of Fufa units. On March 25, 2019, the company signed the Equity Transfer Agreement in Shanghai., Sold 51% of Beijing Aerospace Hengrong Electromagnetic Technology Co., Ltd.Further promote corporate governance, clean up inefficient companies, further advance the optimization of industrial structure and the process of transformation and upgrading, improve quality and efficiency, and improve the overall profitability of listed companies. 3.The investment proposal estimates that the company’s net profit attributable to its parent from 2019 to 2021 will be 5, respectively.66 billion, 6.6.1 billion and 7.5.6 billion, EPS is 0.35 yuan, 0.41 yuan and 0.47 yuan, the current corresponding PE is 32x, 27x and 24x.With reference to comparable companies in the industry, the company’s estimated advantages are extremely obvious.The company is a pure national defense informatization target, and its performance growth has continued to extend, maintaining a “recommended” level. Risk reminder: The target company’s performance commitments do not meet the expected risks, and the military business orders are less than expected risks.

Hengli Hydraulics (601100): Long-term results supported by Q3 results are in line with expectations

Hengli Hydraulics (601100): Long-term results supported by Q3 results are in line with expectations

Event: The company released the third quarter report of 2019, and the first three quarters of 2019 achieved revenue of 38.

34 ppm, an increase of 21 in ten years.

32%, realizing net profit attributable to mother 9.

170,000 yuan, an increase of 27 in ten years.

49%, net profit after deduction to return to mother 8.

190,000 yuan, an increase of 32 in ten years.


Achieved revenue of 10 in the third quarter.

41 ppm, a ten-year increase4.

52%, net profit attributable to mothers2.

4.6 billion, a decline of 3 every year.

91%, the performance basically meets market expectations.

  Opinion: The current and third quarter results are slightly expected.

In Q3, the net profit attributable to the mother increased slightly.

91%, we think that it is mainly affected by the oil cylinder, which has two reasons: 1) the first quarter is the downstream OEM’s promotion season, this year’s promotion intensity is switched, the initial cylinder stocking is interrupted, leading to demand overdraft in advance; 2) the second quarter sales of downstream excavators appearAfter obvious fluctuations, the market demand of the OEMs and the market size actively controlled the output, and the company’s orders shifted accordingly.

Due to the relatively stable market share of the company’s cylinders, and the delivery cycle is about one month, the company’s cylinder performance basically corresponds to the sales data of excavators. The market’s performance in the third quarter has been expected.

  The oil cylinder business continued to grow steadily, and the pump valve business contributed elasticity.

1) Cylinders: Affected by the continuous warming of the downstream industry and the continuous improvement of the company’s product competitiveness, the company’s product sales have increased. Among them, the revenue of excavator cylinders has increased by 15%, and the revenue of non-standard cylinders has increased by 8%.Stable; 2) Pumps and valves: The sales volume of pumps and valves for hydraulic technology excavators of the subsidiary continued to increase, hydraulic technology revenue increased by 86%, and the existing structure of the pumps and valves business continued to decrease.Will contribute a new size of flexibility to the company’s performance.

  The demand for downstream excavators was sufficient, and the company’s performance was maintained.

Excavator sales in September were 15,799 units, an increase of more than 17.

8%, exceeding market expectations again, January to September 2019 sales of excavators 17.

90,000 units, an increase of 14 in ten years.

7%, of which large / medium / small digging increased by 5 respectively.

7% / 8.

5% / 15.

7%, the machine replacement trend does not change.

According to our analysis, under the background of the macroeconomic downturn, infrastructure may become an important driver of a stable economy. Under the influence of multiple factors such as stable infrastructure, extra debt, machine replacement and environmental protection, the demand for excavators has been reduced, and the company’s performance has been realizedDesigned to support.

  The 夜来香体验网 second phase of the company’s foundry has been put into operation, which is expected to increase the company’s performance.

The second phase of the foundry has been put into operation in October. It is expected that the company’s first phase + second phase castings production capacity will reach 5.

5 Every year, it can support the output of 4-5 billion pumps and valves. In addition to satisfying self-use, the surplus casting capacity can be exported, and the export will increase the company’s performance.

  Maintain profit forecast and maintain “Buy” level.

Maintain profit forecast, and expect net profit attributable to mothers to be 12 in 2019-2021.



02 trillion, the corresponding EPS is 1.



93 yuan / share, currently sustainable 38.The RMB 84 (2019/10/30) corresponding PE is 27X / 23X / 20X. Considering the company’s high industry 佛山桑拿网 barriers and good competition pattern, the company’s performance is flexible and certain, so it maintains a “Buy” rating.
  Risk warning: sales of downstream engineering machinery decline; pump valve business progress is less than expected; overseas business expansion is less than expected.

Baosteel Co., Ltd. (600019): Company profit steadily advances as industry declines

Baosteel Co., Ltd. (600019): Company profit steadily advances as industry declines


The event company releases its 2019 half-year report.

The company achieved operating income of 1,408 in the first half of the year.

7.6 billion, down 5 every year.

16%; the net profit attributable to shareholders of listed companies is maximized 61.

87 trillion, down 38 a year.

19%; cash flow from operating activities 94.

37 trillion, down 51 a year.

53%; basic profit income is 0.

28 yuan / share.


Our Analysis and Judgment (I) The “weak long-strength plate” and the automobile downturn are the reasons for the decline in the company ‘s profit. The company ‘s products are mainly sheet metal.43.


In terms of steel, domestic crude steel output was about 4 in the first half of the year.

9 billion tons, an increase of 9 in ten years.

9%; China Steel Association steel price index 109.

5, down 4 each year.

6%; Platts 62% iron ore index 91 during the same period.

$ 4, up about 30 a year.


The spread between the purchase and sale of steel products narrowed.

In addition, Q1 plate prices were sluggish, and steel prices fell month-on-month. Although the initial steel prices in Q2 suffered a slight increase due to the support of raw material prices and the country’s reduction of fees and taxes, the prices of steel released after 6 months fell.

In the auto market, Q2 global auto sales were 2311.

90,000, two years ago.

7%, and the domestic automobile production replaces 13 every year.


Even so, the company’s cold rolled carbon steel sheet has a gross profit margin of 10.

4%, a decrease of 4 over the same period last year.

9%, the gradient is smaller than the hot-rolled carbon steel coil (YOY-9.


We believe this is due to the company’s significant cost reduction effect.

The cost of the company in H1 2019 decreased by 31 compared with the same period in 2018.

5 trillion, exceeding the annual target of about 8.

700 million, effectively overcome complex indicators such as the continued downturn in the automotive market and the continuous increase in mineral prices, and also strengthen the company’s cyclical resistance.

(2) The Zhanjiang project is advancing steadily, and overseas projects are actively advancing the company’s Zhanjiang No. 3 blast furnace system construction.

The hot rolling project started on May 9, the cold rolling project started on June 11, and the sintering project started on June 17.

The project is planned to be put into production in 2021, and the supplementary capacity it provides will be very considerable, that is, the annual output of hot metal 1225 is called molten steel 1252.

8 additives, 1081 additives for steel.The Zhanjiang blast furnace production project is one of the company’s multi-manufacturing base projects. The smooth progress to completion means that the company can further improve the management capabilities of multi-manufacturing bases and explore synergies to maintain stable production capacity, control costs, and effectively hedge against changes in the internal and external operating environment.Potential risks.

In addition, the company is promoting the implementation of overseas 青岛夜网 full-process steel base projects, and has initially locked the target project group, and strives to achieve a breakthrough in the layout of overseas steel manufacturing bases within 3 years.

The internationalization of the company started early and was regarded as the only way for Baowu to develop.

At present, the domestic steel industry has entered a long period of de-capacity stage, and competition has gradually intensified. The smooth progress of overseas layout will help the company to continue to expand production capacity under the domestic supply side and environmental protection control.


Investment suggestion The company is an industry leader, its profitability is higher than the industry average, and its effective cost control, product upgrade policy and steady advancement of multiple production bases will 杭州桑拿网 enhance the company’s cyclical resistance.

We expect the company’s EPS to be zero in 2019-2020.


64 yuan, corresponding to PE for 2019-2020 is 10.

96x / 9.

25x with a “cautious recommendation” rating.


Risk warnings 1) The demand for steel is less than expected; 2) The environmental protection control at each base is less than expected.

Dongshan Precision (002384) 2019 Performance Express Review Comments: 5G Industry Layout Fully Blooms and Light Loaded Companies Enter Accelerated Development Phase

Dongshan Precision (002384) 2019 Performance Express Review Comments: 5G Industry Layout Fully Blooms and Light Loaded Companies Enter Accelerated Development Phase

Note: Dongshan Precision released the 2019 performance report and achieved revenue of 237.

10 billion (+19.

55%), withdrawing related bad assets such as storms from impairment5.

After 8.1 billion yuan, net profit attributable to mothers will be realized7.

1.3 billion (-12% year-on-year.

15%), to achieve operating net cash flow21.

72 billion (54.


Comment: The overall 5G industry layout has blossomed, and listed companies entering the light-weight industry have entered a period of accelerated development. In the context of the consumer electronics cycle over the past two years, the financial deleveraging has overlapped, and the company’s core business has achieved high growth against the trend.Value impact, net profit of nearly 1.3 billion yuan in 2019.

After the impairment of the non-performing assets, the company completely overlapped the historical burdens and was able to fully focus on the 5G core industry layout of circuit boards and filters. The significant improvement in operating cash flow reshaped the balance sheet and ensured that it was in the 5G tide.With the expansion capability of assets, the performance of listed companies is expected to enter an accelerated release period.

The scale of the global industry leader in FPC business is growing, and the quality of endogenous operations has been increased to a cornerstone of greater growth: Mflex’s ownership relies on its own technological advantages to prospectively lay out MPI products, focusing on major customer mobile phones and other innovative hardware (Airpods, Pad, Watch, etc.)Business, won 3D cameras / MPI LCP antennas and other large core large value soft sheet material numbers, there is a major shift in the layout of major customers’ FPC supply chain shuffle; Mflex has integrated climbing since 17 years and a new round of capital expenditure in 18 yearsAfter that, the industry has grown significantly, the industrial card position is accurate, and the endogenous operation quality has been steadily improved. The smart phone is replacing the cornerstone with a new trend in the electronics industry such as new energy vehicles (Tesla) / wearable.Peng Ding has formed an industrial pattern of “two dragons playing with pearls”.

The PCB business integration has achieved initial results, and the performance potential of high-end circuit board leaders in the 5G era is expected to be gradually released: As the world’s first-class PCB manufacturer with technology and customer reserves, Multek has rich production capacity in 5G communications / new generation servers / 5G terminals ELIC HDI.Customer reserves, striving for a trio in 2020.

Since being acquired by Dongshan Precision at the end of 2018, Multek has carried out various reform measures such as internal management optimization / capacity adjustment / customer structure adjustment, and has determined the strategic development direction of “focusing on major customers”. It has continued 淡水桑拿网 to lead in the Amazon server motherboard market, andIt is expected to make breakthrough progress in large domestic customers such as Huawei / ZTE, the easing of the trade war and the involvement of the 5G wave. The company is well-positioned and well-equipped, and its performance potential is gradually being released.

5G-driven base station filters explode, card-positioned dielectric filters benefit from the construction cycle bonus: The company’s advantage as a leading positioner for dielectric filters is prominent. Since December 18, Afford has started to supply large customers such as Huawei, Ericsson, and benefit from material barriers.Advantage, the profit margin is significantly higher than traditional filters; the current company 2.

6G / 3.

The orderly expansion of 5G media filtration capacity is expected 北京夜网 to fully benefit from the accelerated cycle of 5G base station construction and maximize the dividends from the industry. Considering the scarcity of media filter suppliers and the potential for future development, we have centralized the supply of our Multek communication board business.The tiered development of the device business in the industry chain competition is optimistic.

Earnings forecasts, estimates and investment ratings.

The company has an in-depth forward-looking layout in 5G equipment / 5G terminals. As a leading domestic circuit board manufacturer and 5G leader, we insist on optimizing the company’s industrial strategic layout in the 5G wave.

We maintain our forecast for the company’s net profit attributable to mothers for 20/2117.


3.6 billion.

Taking into account the company’s accelerated deployment of 5G equipment / 5G terminals and continuous improvement in operating quality, multiple core businesses have significantly benefited from the 5G industry trend, and the industry leader has become significantly prominent. Against the background of the overall increase in the sector,The company was given 35 times PE in 2020 and maintained a target price of 37.

76 yuan, maintaining the “strong push” level.

Risk Warning: Competition is becoming fierce, trade wars are intensifying, and production expansion is slower than expected.

SAIC Group (600104) 2019 Interim Report Comments: Q2 performance short-term pressure does not mask long-term competition

SAIC Group (600104) 2019 Interim Report Comments: Q2 performance short-term pressure does not mask long-term competition

Core point of view The company’s operating income in the second quarter of 2019 was 176.1 billion yuan, about -22.


Q2 deducted non-attribution net profit increased by 42%, which was 35 instead of the previous month.

7%, short-term performance was under pressure, mainly due to the impact of the previous quarter to promote the emission of inventory vehicles in China.

The company has a solid balance sheet and abundant new energy model reserves. Short-term pressure will not affect the company’s long-term competition and maintain a “buy” rating.

   Q2 deducted non-homing net profit decreased by 42%, mainly due to the second quarter of major promotions to go to China V emissions inventory vehicles.

The company achieved operating income of US $ 176.1 billion in the second quarter of 2019 (two years-22).

0%, MoM-12.

0%), achieving net profit of 55.

10,000 yuan (ten years -40.

6%, -33.

2%), net profit after deduction is 48.

90,000 yuan (-42 for the whole year.

0%, -35.


The company’s 苏州桑拿网 non-net profit growth rate in the second quarter was higher than the previous quarter’s -13.

9% formaldehyde to -42.

0%, mainly due to the impact of emissions upgrades, major promotions in the second quarter of the impact of going to China V emissions inventory vehicles.

The gross profit margin of the company’s consolidated statement caliber remained at 14.

6%, the same as last year.

The total of the company’s four expenses (finance + management + sales + research and development) is 220.

400 million, an increase of 4 from Q1.

At the same time, the company’s Q2 gross profit totaled 256.

700 million, down 34 from Q1.

300 million yuan.

   Affected by the promotion of the five-stock emissions-promoting stock cars in the first half of the year, the profitability of the joint venture company decreased significantly.

In 武汉夜网论坛 terms of joint ventures, SAIC Volkswagen, SAIC-GM and SAIC-GM-Wuling achieved net profit of 98 respectively.

8 billion / 71.

100 million / 8.


In terms of bicycle data, SAIC Volkswagen’s bicycle revenue was 12 in the first half of the year.

270,000 yuan (ten years -10.

2%), bicycle profit 1.

08 thousand yuan (at least -29.

1%), net interest rate 8.

8% (18H1 / 18H2 are 11 respectively.

1% and 10.

5%).SAIC-GM’s Bicycle Revenue10.

960,000 yuan (year -6.

2%), bicycle profit is 0.

850,000 yuan (at least -20.

3%), net interest rate 7.

8% (18H1 / 18H2 are 9 respectively.

2% and 4.


Wuling Bicycle Revenue 4.

920,000 yuan (ten years +0.

4%), bicycle profit is 0.

110,000 yuan (-41 for the whole year.

7%), net interest rate 2.

3% (18H1 / 18H2 are 4 respectively.

0% and 4.


   SAIC’s financial profitability improved, and independent brands remained under pressure.

SAIC Finance achieved net profit in the first half of 201928.

800 million, +2 per year.

3%, is the only subsidiary of SAIC’s five major ginseng holding companies to achieve profitable growth. It is expected that the increase in the popularity of automobile finance in the future will continue to contribute to SAIC Finance’s profit increase.

According to the parent company’s statement, SAIC’s independent brands corrected a total of 18 in Q2 2019.

0 ppm (parent company’s net profit-investment income), 5 before 19Q1

0 million US dollars expanded sequentially.

However, in the long run, the company has abundant reserves of its own brand models, and its new energy layout industry is leading. It will continue to expand its market share in the medium and long term.

   Risk factors: Macroeconomic growth eventually leads to less-than-expected sales; new model market acceptance gradually exceeds expectations; the growth rate of independent brands continues to increase.

   Investment suggestion: Considering that the industry’s business climate is at a low level, and the industry’s sharp promotion in the second quarter erodes earnings, we lower the company’s 2019/20/2021 earnings per share forecast to 2.



95 yuan (previous forecast was 3).



47 yuan).

The current price is 24.

72 yuan, corresponding to 9/2019/20/21.



4 times PE.

The company has a solid balance sheet and abundant reserves of new energy tools; the allocation rate still provides a sufficient margin of safety; it continues to be recommended as a long-term leader and maintains a “buy” rating.

GAC Group (601238): Guangfeng, Guangben’s self-sustained short-term pressures against adverse growth

GAC Group (601238): Guangfeng, Guangben’s self-sustained short-term pressures against adverse growth

Core view performance was slightly lower than expected.

The company achieved operating income of 142 in the first quarter of 2019.

56 ‰, 25 years ago.

7%, net profit attributable to mother 27.

78 ‰, 28 years ago.

4%, net of non-attributed net profit22.

100,000 yuan, an average of 41 for ten years.

9%, EPS is 0.

27 yuan.

The lower growth rate of net profit was mainly due to the decline in gross profit margin.

The gross profit margin dropped on average and stabilized quarter-on-quarter.

Gross profit margin for the first quarter was 12.

4%, a decrease of 12 per year.

2 units, an increase of 0 from the fourth quarter of 2018.

6 units.

Period expenses13.

0%, a small increase of 0 a year.

2 units with a sales expense ratio of 5.

3%, a decrease of 2 per year.

Four single, mainly due to the corresponding reduction in production and sales of logistics storage costs and advertising costs; management expense ratio (including research and development costs) 7.

3%, an increase of 2 per year.

5 units, of which R & D expenses increase by 48 per year.


Net cash flow from operating activities was -60.

310,000 yuan, -12 in the same period last year.

4 billion, the net molecular weight increased by 386.


80 at the end of the first quarter.

170,000 yuan, an annual increase of 132 at the end of the first quarter of last year.


Benefiting from Guangfeng Guangben’s profitable growth, investment income is increasing every year.

The company achieved investment income of 25 in the first quarter.

68 ppm, a five-year increase of 5.

0%, of which investment income from associates and joint ventures is 25.

$ 4.5 billion, an annual increase of 4.

7%, GAC Toyota and GAC Honda are expected to achieve positive growth.

In the first quarter, Guangfeng sold 16.

180,000 vehicles, an increase of 45 in ten years.6%; Guangben sales 18.

770,000 vehicles, an increase of 11 in ten years.

4%, which are far higher than the industry average.

During the Shanghai Auto Show, Guangfeng replaced Ralink to start pre-sale, C-HR EV made its debut, and new models such as Guangben Odyssey Rui hybrid were released.

It is expected that Guangfeng and Guangben’s sales in 2019 are expected to be better than the industry average.

Sales of GAC’s own brands are expected to achieve steady growth.

During the Shanghai Auto Show, new models such as GAC Trumpchi GA6 and GAC New Energy Aion S were launched for the first time. In 2019, GAC publicly launched a variety of independent brand products such as Trumpchi GM6, GS8 remodeling, GS4 replacement, pure electric exclusive B-class SUV.

Sales of GAC’s own brands are expected to achieve steady growth.

The financial forecast and investment recommendations slightly adjust the gross profit margin and expenses, and the EPS is expected to be 1 in 2019-2021.


27, 1.

44 yuan (originally 1.

18, 1.

30, 1.

44 yuan), with reference to comparable companies’ estimates, given the company 13 times PE in 2019 with a target price of 14.

56 yuan, maintain BUY rating.

Risk Warning: Sales of GAC passenger 上海夜网论坛 cars, Guangfeng, Guangben, and Guangfeike are lower than expected risks, and the demand of the passenger car industry exceeds expected risks.

Jin Shiyuan (603369): Product power and brand power boost the company to take off

Jin Shiyuan (603369): Product power and brand power boost the company to take off

Product power and brand power mutually support each other, consolidating the foundation for the company’s development and continuous brand building. Today Shiyuan has gradually formed a national brand from distorted real estate wine, and consumer awareness has continued to increase.The image of “baijiu” is deeply rooted.

We believe that the continuous improvement and mutual support 南京夜生活网 of Shiyuan’s product power and brand power have broken the foundation for the company’s development, and the company’s performance may continue to grow rapidly.

We estimate that the company’s EPS for 2019-2021 will be 1.

15 yuan, 1.

45 yuan and 1.

83 yuan, target price range is 39.

10 yuan?

40 yuan, maintain “Buy” rating.

  Product upgrade: The launch of Guoyuan V9 high-end products is conducive to increasing consumer brand awareness. The high-end products Guoyuan series have been cultivated and constructed for 15 years since its launch in 2004, and have become a weapon to promote the rapid development of this world.

In addition to the sub-high-end products represented by Folio and Sikai, Jinshiyuan actively launched high-end products of the V series. In August 2019, Qingya Sauce’s Guoyuan V9 was launched, consolidating Jinshiyuan’s confidence in participating in head competition.The launch of high-end products is conducive to improving consumers’ brand awareness of this world.

The company’s 2019 interim report shows that the operating income of special A + products represented by the national margin V series, folio, and quartile.

7.4 billion, an increase of 44 in ten years.

33%, accounting for 49% of the company’s liquor revenue from the same period last year.

37% increased to 54.


  Brand building: The company has steadily promoted basic marketing and continued to improve its brand power. The company has steadily promoted marketing. In addition to marketers and local platform advertising, the company has strengthened the promotion and promotion of national advertising.

Since April 2014, Jin Shiyuan has been named the CCTV large-scale public welfare tracing program “Waiting for Me” for 5 consecutive years. In January 2019, Jin Shiyuan’s image promotional film appeared on the outdoor screen of Times Square in New York for the third time.The world showed the unique charm of “China’s national fate, the world is bound to the world”; In September 2019, the main venue of the Central Radio and Television Central Mid-Autumn Festival Party was settled in Huaian, Jiangsu. Today, Shiyuan has become the chief support unit of the main venue of Huaian.

A variety of innovations go hand in hand in this world, taking the pace of substitution in the nationalization of the brand and even internationalization.

  Market layout: Strengthen cooperation with wine channels from other provinces and wine companies, and actively break through the markets outside the province. Jiangsu, as the base market of this world, has always occupied more than 90% of the income structure of this world.

But only if the company strengthened the construction of markets outside the province and created a more precise marketing policy through the advantages of the platform can the breakthrough in the markets outside the province be achieved.

In May 2018, Jinshiyuan and Zhejiang Shangyuan Group signed a strategic cooperation agreement to help the company achieve a breakthrough in the Zhejiang market. In October 2018, Jinshiyuan announced the acquisition of 34% -49% of Shandong Jingzhi Wine Co., Ltd.To jointly develop the Shandong market.

  The company’s performance may continue to improve, maintaining the “Buy” rating. We believe that the company continues to promote product and brand strength through product upgrades, brand building and market layout and other measures, and the company’s performance may continue to improve.

What do we expect the company 2019?
In 2021, sales revenue will be 48.

7.3 billion, 62.

1.6 billion and 78.

370,000 yuan, an increase of 30%, 28% and 26% each year, and EPS is 1.

15 yuan, 1.

45 yuan and 1.

83 yuan, the average PE of the comparable company in 2019 is expected to be 34 times, giving the company 34 in 2019?
36x PE estimates that we have raised our target price range to 39 due to changes in the benchmarking company.

10 yuan?

40 yuan, maintain “Buy” rating.

  Risk warning: industry competition intensifies, macroeconomic performance exceeds expectations, and food safety issues.