Main points of investment:
Conclusion: the company's automation solutions are expected to achieve explosive growth in the tire and 3C industries in 2015. It is estimated that the company's EPS from 2015 to 2017 will be 0.47,0.62,0.81 yuan respectively, an increase of 71.2%, 31.6% and 30.9% respectively. Considering that the company is in line with the development direction of Industrial 4.0 and made in China 2025, the company is given 55 times PE in 2015, which is higher than the industry average valuation. The target price is 26 yuan, covering and increasing the holding rating for the first time.
The proportion of hydraulic press in the vulcanizing press industry is increasing, and the company has benefited significantly as a leading enterprise: ① at present, the proportion of hydraulic vulcanizing press in China is significantly lower than that in Europe, America and Japan, and there is an urgent need for tire enterprises to transform and upgrade. If the permeability of the hydraulic vulcanizing press reaches 50% in 2014, the average annual demand for 2017-2017 will be at least 1100 sets, and the average annual demand will be at least 1.65 billion yuan. ② Company is a leading enterprise of hydraulic vulcanizing press, with complete product spectrum and significantly high production capacity, which will benefit from the improvement of hydraulic vulcanizing press permeability.
Automation solutions are expected to achieve explosive growth in the tire and 3C industries: ① has launched high-end precision CNC machine tools and industrial robot products to provide complete automation solutions. ② has extensive domestic customer resources in the tire industry. These customers are still labor-intensive and are in urgent need of automated upgrades. The company has provided automation solutions for the domestic tire leader, and is expected to gain a larger market in the tire industry. ③ company is close to 3C industry cluster in location, and many years of tire mold production experience makes the company familiar with the processing of precision parts, which makes it have a natural advantage in the field of automatic drilling of mobile phone metal casing. With the rapid increase in the permeability of the metal casing of mobile phones, the company's automation solutions are expected to grow explosively in the 3C industry.
Catalyst: automation solutions continue to make breakthroughs and epitaxial development in the tire and 3C industries; risk factors: the risk of a downturn in the domestic tire industry caused by the "double reversals" of the United States, and the risk of a recession in the domestic tire industry caused by the increase of environmental standards.
