The company is a pioneer in the global photovoltaic lighting industry. The company is the first company in the world to engage in large-scale promotion of photovoltaic lighting, with a number of independent brands, and establish stable cooperative relations with European and American retail giants. In 2010, the company accounted for 9.48% of the global photovoltaic LED lighting market; solar lawn lights and courtyard lights accounted for 33% of the market share in the United States.
The market prospect of photovoltaic lighting is promising. Photovoltaic lighting technology fully combines the advantages of solar power generation and LED technology. At present, the widely used photovoltaic lighting system products include solar lawn lamp and courtyard lamp, which have both decoration and lighting characteristics; it is estimated that the photovoltaic LED lighting market will have an average annual compound growth rate of 62.64% from 2010 to 13.
The company's competitive advantage. The company adheres to the development strategy of technological innovation and market development. The company has the core advantages of sales channels, establishes stable cooperative relations with many large international chain retailers including TheHomeDepot, and has independent brands such as YARDS&BEYOND, EZSOLAR, PATHWALKER and other independent brands, and has significant technological advantages.
Project analysis: the company publicly issued 35 million shares to raise funds for the annual production of 40 million sets of solar lawn lamps, solar courtyard lights, photovoltaic power semiconductor lighting system industrialization project and photovoltaic lighting R & D center project. the total investment of the project is 435 million yuan. The fund-raising project will solve the bottleneck of the company's insufficient production capacity, further extend the company's product line and optimize the company's product structure.
Earnings forecast and company valuation: the company's earnings per share in 2012 and 2013 are 0.66 yuan and 0.92 yuan respectively. It is suggested that the company should be given a price-to-earnings ratio of 18-21 times in 2012, and the corresponding reasonable value range is 11.85-13.83 yuan.
Risk tips: regional concentration of sales; intensified competition in the industry; project progress and market expansion are lower than expected.