Main points of investment
Mainly engaged in large steel castings for electric power and rail transportation, and customers are large equipment manufacturers at home and abroad.
The company's main products are major technical equipment supporting large steel castings, the products are mainly divided into thermal power equipment supporting castings, hydropower equipment matching and rail transit and other castings three categories. Customers include GE, Siemens and other foreign customers and Shanghai Electric, Harbin Electric Group, Dongfang Electric and other domestic customers.
Introduce Russian gas turbine technology and expert team to transform distributed energy
In May 2017, the company announced the establishment of Liaoning Fusan Gas Turbine Co., Ltd., in which the company controls 79%. Fusan Gas system introduces advanced manufacturing technology and expert team of Russian industrial gas turbines, and will focus on small and medium-sized gas turbines below 50MW, integrating R & D, production and market.
The company's gas turbine has the advantages of high efficiency, low cost and can adapt to the change of heat load, so it is expected to realize import substitution.
The company's gas turbine has the advantages of high efficiency, low cost and adapting to the change of heat load. it can compete with the world-famous gas turbine in the distributed energy field, and is expected to realize import substitution and quickly open the market in a short time. Become an important source of profits for the company.
Dingzeng has been approved, plus intelligent manufacturing and processing to promote transformation and upgrading, this increase is scheduled to raise no more than 340 million yuan, and the issue price is 17.19 yuan. It has received approval from the Securities Regulatory Commission on June 2, 2017. The main fund-raising is the intelligent manufacturing and processing of key components of major energy equipment.
The employee owned shares to complete the purchase, and the average transaction price was 16.53 yuan.
The purchase of the first phase of the employee stock ownership plan was completed on July 21, 2017. The size of 7.04 million shares, the total share capital accounted for 3.52%, the average transaction price of about 16.53 yuan per share.
With the rapid growth in performance in the next few years, the gas turbine is expected to make a breakthrough and maintain the "overweight" rating.
It is estimated that the EPS of the company from 2017 to 2019 will be 0.28, 0.51 and PE will be 0.70 yuan and 0.70 times of that of 58-32-23. The company introduced Russian gas turbine technology and team, distributed energy layout, in the future will speed up the transformation and upgrading, maintain the "overweight" rating.
Risk hints: downside risks of thermal power and hydropower demand, lower than expected transformation and upgrading, and risks supported by gas turbine industrialization.