I. Overview of events
Recently, we have conducted a survey of Yaxiang integration and discussed with the management of the company on its main business, core advantages and development strategy. The core technology of the company is leading, and the chip market is in strong demand. We estimate that the EPS in 17-19 will be 1.21,1.68,2.33 yuan respectively, giving a "highly recommended" investment rating for the first time.
II. Analysis and judgment
Strong demand drives the rapid growth of chip-related business
China produces more than 1 billion smartphones, 350 million PC and hundreds of millions of household appliances every year, which has become one of the most important chip markets in the world, but the chip self-control rate is less than 10%. "made in China 2025" puts forward clear requirements for the localization of semiconductor equipment: by 2020, the localization rate of 90,32nm process equipment will reach 50%, the localization rate of 90nm lithography machine will reach 50%, and the localization rate of key equipment for closed testing will reach 50%. By 2025, the localization rate of 2014 nm process equipment will reach 30%. It is estimated that dozens of chip factories will be built by 2025. The big fund introduced by the government and Tsinghua Ziguang Company are cooperating with local governments to actively invest in the construction of independent chip factories, and the development of high-end manufacturing industries such as artificial intelligence, new energy vehicles, and big data have also brought the chip industry into a golden period of development. the company's clean room system integration business development space is huge.
The core technology is far ahead, providing the best service in all directions.
The company introduced air sampling technology as early as 2002 and began to build its own dust-free chemical experimental analysis room in Suzhou in 2013. it is the first company in the industry to introduce CFD micro-vibration measurement technology, and it is also the only company with chemical analysis and air sampling technology combined with basic manufacturing knowledge and its own database. Companies that cooperate with the concepts of cheap airflow and air conditioning cycle to assist different industries in pollution investigation, yield improvement and engineering improvement. The company has mastered many core technologies and has been providing customers with the best production environment since the establishment of the factory.
Prepare ahead of time to take the lead in the layout of environmentally friendly energy
Energy and environmental protection policies and regulations such as "made in China 2025-Energy equipment implementation Plan" and "Green Manufacturing 2016 Special Action implementation Plan" have been issued one after another to vigorously support the development of energy conservation and environmental protection industry and further improve energy consumption and energy management conservation. The company established a solar energy factory in Shandong as early as 2017, and has been involved in energy management and the establishment of lithium battery plants in recent years. In the next stage, the company will also focus on energy management and conservation, grasp policy trends, and actively distribute the energy-saving and environmental protection industry.
Third, risk tips
Risk hint: significant changes have taken place in the direction of domestic investment; alternative technologies have emerged.
Fourth, profit forecast and investment suggestions
We are optimistic about the development of the company in the fields of chips and pharmaceutical clean rooms, and expect EPS 1.21,1.68,2.33 yuan in 17-19, with a "highly recommended" investment rating.