Main points of investment:
The scale is leading, the variety is complete. Dadan is the leading company in domestic packaging film industry, and its products include BOPP film, BOPET film and CPP film. BOPET production capacity of 90,000 tons, 50,000 tons of optical film will be put into production, the scale will rank among the forefront in China; CPP film production capacity of 41000 tons, the first in the industry; 16000 tons of capacitor film production capacity is also in the forefront of the country. Another BOPP production capacity of 14000 tons, diaphragm production capacity of 1200 million square meters / year.
The thin film business is expected to stabilize and recover, with great flexibility in performance. The demand for plastic packaging film is rigid and is expected to maintain a steady growth of 10-15%. Bruckner, a thin film equipment company, ordered only 220000 tons of two-way stretch production line in 2014, less than 1x10 in 2010, which means that the industry's new capacity has been significantly reduced in the next two years, and the supply and demand pattern is expected to continue to improve. The company's thin film production capacity is 210000 tons, and the price difference is expanded by 1000 yuan. The performance will be thickened by 178 million yuan. The functional film imported 300000 tons in 2014 has a large alternative space and high added value. The company's 60,000 tons of optical film will be put into production one after another, with a comparable gross profit margin of 30-40%, which is expected to improve the company's profitability. The company expects that when the optical film reaches production, it is expected to contribute 210 million yuan in profit.
Additional distribution of power batteries, the future growth space is huge. In the first nine months of 2015, China produced a total of 156200 new energy vehicles, a nearly three-fold increase over the same period last year, and power batteries are in short supply. At present, the company's 18650 cylindrical batteries have been supplied in small batches, and the products have been tested and passed by the relevant state departments. Recently, the company started refinancing and plans to raise 2 billion yuan to build 750 million Ampere-hour power battery capacity. We noticed that the company adopted the route of NCA cathode material this time. NCA, which has the advantages of both lithium nickel oxide and lithium cobalt oxide, is the technical route used in Tesla, Inc. electric vehicles. However, it is difficult to process NCA batteries. At present, only Panasonic can produce high-quality power lithium batteries in large quantities. If the company can successfully mass-produce NCA batteries, it is expected to seize the commanding heights of high-end power batteries.
Buy Youtang network and share the feast of online games. According to Analysys International, China Mobile Limited's online game market will reach 33.843 billion yuan in 2015, an increase of 42.5 percent over the same period last year. In the next three years, China Mobile Limited's online game market will maintain rapid growth. Youtang Network has an efficient development team, with high-quality game resources, with many international well-known operators to establish a long-term and stable cooperative relationship. Youtang Network has promised that its performance in 2014-2016 will not be less than 4,500 Universe 5,850,73.5 million yuan, which will greatly increase the company's performance this year and next, and take the fast train of the development of online games in China.
Investment advice and rating. It is estimated that the EPS of the company in 2015-2017 will be 0.23 yuan for 0.0ax and 0.11, respectively, and the current price will be 83 times and 40 times for PE and PB2.8 times respectively for 2016-2017. With reference to online game listed companies, Youtang network is reasonably valued at 2.57 billion yuan. The company currently has a market capitalization of 8.55 billion yuan, corresponding to the traditional business market capitalization of 6 billion yuan. At present, the profit of thin film is still at the bottom of the industry, the supply and demand pattern continues to improve at the end of production capacity release, the company's optical film production capacity is gradually released, and the profit of thin film business will gradually increase. The company's existing production capacity of all kinds of thin film is 210000 tons, the price difference is expanded by 1000 yuan, the company's performance will be thickened by 178 million yuan, EPS0.19 yuan, and the performance is very flexible. Cover for the first time and give an overweight rating.
