Dingzeng sets up a platform for small and micro enterprises, and Internet Finance Company is one of the top five established electrical equipment leaders in China. Under the background of weak growth of traditional business, it raised 3.68 billion through fixed increase, and then combined with its own capital of 1.2 billion, it invested a total of 4.88 billion to build small and micro enterprise financial service platform, and made the transformation of Internet finance.
"Smart City" opens the customer base, and the POS terminal card traffic entrance company cuts into the daily payment and settlement scenarios of small and micro merchants and citizens through cooperation with the municipal government to build a smart city project, and takes advantage of the promotion of the municipal government to open the customer base. It is planned that within three years, through the launch of 3 million "Tianchengtong" intelligent terminals, we will obtain daily payment portals for small and micro businesses and citizens, and provide value-added financial services such as small loans and financial management on this basis. The whole project has clear logic and accurate layout, and will completely reconstruct the investment value of the company.
POS receipt + small loan + financing: to create a closed-loop ecosystem of small and micro finance the financial service platform for small and micro enterprises invested heavily this time will make a profit in the future with three modes of POS receipt, small loan (POS loan) and financial management, and create a closed-loop ecosystem of small and micro finance. POS receipt is the added value generated by providing intelligent POS terminals for small and micro merchants, while small loan and financial management services are value-added services derived from the daily operation of small and micro merchants obtained by POS receipts. Under the dual background of the great development of electronic payment and the increasingly difficult financing environment of small and micro enterprises, these three businesses all contain rich value.
Layout of banks, life insurance and financial leasing to ensure that cheap capital supply companies have a strategic vision to build a financial service platform for small and micro enterprises while choosing to layout banks, life insurance and financial leasing in order to obtain a long-term and stable supply of cheap funds. to provide adequate financial support for business development. At present, the banking license has been approved, life insurance and financial leasing are actively preparing for application, and the company will form a long -, medium-and short-term coverage, focused and supplementary supply of continuous cheap funds in the future.
The project is highly profitable, and the company has a reasonable market capitalization of 28.5 billion yuan in the coming December. The company is building a financial service platform for small and micro enterprises based on POS payments. The platform is profitable and is laying out cheap capital, such as city commercial banks, life insurance and financial leasing, in order to form a closed loop of business interaction. The net profit for 2016-18 is expected to be 1.7,5.7 and 1.15 billion respectively. In view of the good profit prospect of a compound net profit growth rate of 210% in the next three years, we value the company according to 50xPE in 2017, with a reasonable total market capitalization of 28.5 billion yuan, and there is room for doubling in the next 12 months, giving a "buy" rating for the first time.
Risk hints: 1) the business progress is lower than expected; 2) the risk of POS loan business is higher than expected; 3) the fixed increase has not gone too far.