This report is read as follows:
Considering the valuation of the company's products, industry and comparable company, we estimate that the issuing price of Wanyi Technology is between 16.30 yuan and 18.90 yuan.
Summary:
At present, the market has entered the stage of information effectiveness and inter-agency low-price game, taking into account the company's growth rate, industry and comparable company valuation, we estimate that the corresponding inquiry range of Wanyi Technology on June 16 is between 16.30 yuan and 18.90 yuan.
Wanyi Science and Technology has formed four major product systems, focusing on the innovative research and development of analytical and testing instruments. The compound growth rate of revenue and net profit of the company in the past three years is 20.06% and 16.21% respectively, maintaining a steady growth. The gross profit margin in 2019 is 53.12%, which is higher than the average level of comparable companies. The company independently developed testing equipment, technology and core components. It has obvious advantages in cost control. In the past three years, the total R & D investment accounted for 11.53% of the cumulative revenue, has a number of leading domestic core technologies, and formed four major product systems of environmental protection on-line monitoring instruments, leak detection instruments, laboratory analytical instruments and electronic measuring instruments. to cover the atmosphere, water, soil and other fields in an all-round way, the company raised funds to build R & D centers to further enhance the company's innovation ability. In the future, laboratory analytical instruments are expected to become an important profit growth point in order to systematically solve the problems of environmental testing.
Based on the above analysis and the disclosure of the company's prospectus, based on the similarity of products or business, we choose 300203.SZ, 300137.SZ, 002658.SZ, 300800.SZ and 300165.SZ as comparable companies. The price-to-earnings ratio of comparable companies in 2019 is 9.68-25.48 times, with an average of 16.69 times; in 2020, the forecast price-to-earnings ratio is 11.34 times to 22.51 times, with an average of 17.54 times.
Reference to the company's industry "C40 instrument manufacturing" nearly a month (as of June 12, 2020) static price-to-earnings ratio of 29.62 times. Based on the valuation of comparable companies and industries, considering the relatively high added value of the company's products, and based on the 2019 net return profit disclosed in the prospectus, we give a valuation range of 33-38 times PE, which is higher than the industry price-to-earnings ratio and the average price-to-earnings ratio of comparable companies. Based on the estimated total share capital of no more than 133.34 million shares after the offering, the estimated market value after the offering is 2.173 billion yuan to 2.52 billion yuan. The corresponding issuing price ranges from 16.30 yuan to 18.90 yuan.
Risk tips: (1) beware of 10% high price rigid elimination risk and the second game behavior on the day of market quotation. (2) the proportion of the book value of accounts receivable to current assets is more than 29% in the past three years, so be on guard against the risk of bad debt loss of accounts receivable.
