This report is read as follows:
The rise in raw material prices, the domestic epidemic situation and other factors superimposed, the company's short-term performance is under pressure. The company's electronic oil pump has been designated by BYD, and the new energy business has been developed smoothly. Issue a stock incentive plan to highlight the key points of long-term confidence investment:
Maintain the overweight rating, with a target price of 29.11 yuan. It is predicted that the net profit of the company from 2022 to 2023 / 2024 is 2.25Universe 421 million yuan, and the target price is 29.11 yuan, corresponding to 14.31 times PE in 2023.
The rise in raw material prices, the domestic epidemic situation and other factors superimposed, the company's short-term performance is under pressure. The company's revenue in the first quarter of 2022 was 399 million yuan, down 7.09 percent from the same period last year, while the net profit belonging to shareholders of listed companies was 31.36 million yuan, down 31.45 percent from the same period last year. Since the beginning of 2022, the COVID-19 epidemic broke out one after another in Tianjin, Pearl River Delta, Yangtze River Delta, Jilin Province and other important automobile industry agglomeration areas, which had a great impact on the company's product sales, superimposed the rise in raw material prices, and the company's performance declined in the first quarter. With the gradual improvement of the domestic epidemic, problems such as poor logistics and transportation and enterprise shutdown have been solved. we believe that the demand delayed by the epidemic in the first quarter is expected to be released after the epidemic is under control, and the company's long-term growth trend remains unchanged.
The new energy business is expanding smoothly. The company's electronic oil pump has been designated by Fudi Power, which is matched with BYD's pure electric vehicle, which indicates that the company's electronic oil pump products have been recognized by domestic well-known automobile customers. In addition, during the reporting period, Hainan Dongjiang, a shareholding company, was approved to carry out smart car road testing in Hainan Province. The company's new energy business has expanded smoothly and is expected to become the second growth curve.
Issue a stock incentive plan to demonstrate long-term confidence. During the reporting period, the company announced the 2022 restricted stock incentive plan, which is intended to grant 1.3968 million restricted shares to 72 senior managers, middle managers and core technical (business) personnel serving in the company (including subsidiaries) at a price of 12.33 yuan per share, accounting for 0.87% of the total share capital.
Risk hint: the price of raw materials remains high, and the resumption of work and production in the automobile industry chain does not meet expectations.