Main points of investment:
Maintain the "overweight" rating and raise the target price to 156 yuan. The company plans to further increase the construction of the Internet insurance platform through additional issuance and fund-raising, and the Internet insurance platform strategy has gradually surfaced, which will fully benefit from the trend of vigorous development of Internet insurance. According to the company's 2014 performance KuaiBao and the acceleration of Internet insurance business, the EPS in 2014-2016 will be adjusted to 0.47 (- 8%) / 0.68 (+ 5) / 1.06 (+ 28%) yuan. Give Jingtian profit comparison company an average PEG (FY1) = 6.6x valuation, raise the target price to 156yuan (up 34%), and maintain the "overweight" rating.
Event: plans to raise funds for the construction of an Internet insurance platform through a non-public offering. The company announced that it plans to raise 350 million yuan through private placement, with a lock-up period of one year, of which 270 million yuan will be used for the construction of an Internet insurance platform, which includes three sub-units: Internet insurance collaborative interactive platform, Internet insurance marketing service center, and Internet insurance big data center. In particular, the Internet Insurance big data Center will provide a data basis for the development and design of the company's new Internet insurance products, and realize the accurate marketing of Internet insurance products. It is worth noting that there is a 50 million patent purchase fee in the 270 million investment, which helps to speed up the layout of Internet insurance with the help of external forces.
Strong basic resources help companies fully benefit from the booming trend of Internet insurance. We predict that 2015 is expected to be the first year of explosive growth of China's automobile extended insurance market. In 2020, China's automobile extended insurance permeability is expected to reach 20%, and the market capacity is expected to reach 54 billion yuan. Jingtianli has carried out the insurance exhibition business with the mobile end as the carrier for many years, has accumulated profound enterprise-customer cooperation relationship in the insurance industry and rich experience in the development of financial industry platform, and is expected to grow into the leader of Internet insurance business in China.
Catalyst: formally introduce automobile extended insurance products to the market; the pace of upstream and downstream mergers and acquisitions is accelerated.
Risk hint: the promotion of automobile extended insurance products has been blocked; the delivery volume of short MMS service has declined.