Main points of investment

The company is a high-quality elevator parts supplier. Zhanpeng Technology specializes in the R & D, production and sales of elevator door system, elevator integrated control system, elevator car and door system supporting components, forming a diversified elevator supporting product system. The ownership structure of the company is stable, and the management actually controls it.

The market scale of the downstream elevator industry is huge, and a number of favorable policies promote demand growth. The company's operating income structure is stable, mainly from the elevator door system; through independent research and development of core technology, gross profit margin is at a higher level than companies in the same industry. Seize the opportunity of the renewal and transformation of the downstream elevator industry and a number of favorable policies, cooperate with the company's product diversification strategy, and improve the company's market share.

The company raises funds to invest in elevator door crane system, control system and supporting components of the project and R & D center and marketing network. After completion, it is expected to achieve the business development goal of 700 million yuan in annual sales revenue three years after listing, expand the existing production capacity, consolidate the dominant position of the elevator door system in the market, and optimize the product structure. gradually expand the market share of elevator control system and elevator car and door system components, effectively enhance the company's core competitiveness and overall strength.

Profit forecast: the company's elevator door system business is greatly affected by downstream demand. With the demand expansion brought about by the elimination, renovation and urbanization of elevators, the company's business may usher in a new round of growth. It is estimated that the net profit of the company from 2017 to 2019 is 86.83 million yuan, the EPS is 0.37, 0.40, 0.42 yuan, and the corresponding PE is 36.1 times. Cover for the first time and give an overweight rating.

Risk tips: 1, the risk of bad debts in accounts receivable; 2, the risk of a single main business