Events:
Jixin Technology plans to set up an industrial fund and fund management company jointly with Shanghai Zhouzheng Investment Management Co., Ltd., with an initial fund-raising target of 303 million yuan, and the company subscribes 100 million yuan as a limited partner.
Main points of investment:
Global leading enterprise of wind power hub
The company is mainly engaged in the R & D and production of wind power parts, including wind power castings such as wheels, bases and bearing seats. At present, the company has formed an one-stop production capacity of mold, casting, processing and painting of key parts of wind power, and is the largest manufacturer of wind power castings in the world. The comprehensive strength of the company is in the leading position in the industry, with a production capacity of 180000 tons / year (the global production capacity is about 500000 tons). The main customers include global wind turbine manufacturers such as GE, VESTAS and Xinjiang Goldwind Science & Technology.
The trend of wind power industry is improving, and the company will benefit significantly.
We expect that under the policy of lowering the benchmark price of wind power in 2018, the domestic wind power industry will set off a round of rush to install in 2017, which may surpass the 2015 high 30GW. At the same time, with the implementation of the guarantee policy for the acquisition of wind power utilization hours, the expansion of direct power supply by wind power enterprises, the promotion of UHV construction and other favorable factors, the abandonment wind power restriction rate will gradually improve, and wind power installation will become the preferred energy for power generation groups. The company's domestic business accounts for about 60%, and will significantly benefit from the rebound in the domestic market.
In terms of overseas business, the company has established a good cooperative relationship with GE, VESTAS and other enterprises; in the context of countries around the world to promote carbon reduction, the development prospect of wind power is also excellent.
The establishment of a wind power industry fund is the right time for enterprises to transform and upgrade.
In order to promote the enterprise transformation and upgrading strategy, establish financing channels for wind farm projects and promote M & An investment related to the main business, the company plans to set up a wind power industry fund with a scale of no more than 1 billion yuan. Among them, the scale of the first phase is 303 million yuan, and the company subscribes 100 million yuan as a limited partner. At present, the company is gradually promoting the wind farm operation business, which is conducive to thickening the company's profits and smoothing business fluctuations; at the same time, the company will promote investment mergers and acquisitions in the field of intelligent manufacturing related to the main casting to achieve epitaxial development.
For the first time, coverage gives a "recommended" rating. From 2016 to 2018, we expect the company to achieve revenue of 16.55 million yuan, net profit of 1.17 million yuan, and corresponding share price PE of 49-28-24. Considering that the leading position of the company's wind power hub is stable, and is gradually promoting enterprise transformation and upgrading, we are optimistic about the company's medium-and long-term development prospects, giving a "recommended" rating for the first time.
Risk hint
1. Policy risk; 2. Risk of price fluctuation of raw materials; 3. Downside risk of macroeconomic growth
