This report is read as follows:
The company is the leader of silicon dioxide for domestic matting agent, and the growth of high-end silicon dioxide products is accelerated and its holdings are rated.
Main points of investment:
For the first time, it will be given an "overweight" rating. The company is a domestic matting agent enterprise, focusing on the mid-and high-end extension product categories, and is expected to achieve sustained growth in performance. We expect that the EPS for 23-25 will be 1.07,1.44,1.83 yuan respectively, with a comprehensive PE/G and PB valuation, corresponding to the company's target price of 39.37yuan, giving the "overweight" rating for the first time.
The company is the leader of domestic matting agent and is in the middle and high-end market. The company's products are high-end silica application products with strong profitability, and the gross profit margin of the new nano-materials business is about 40% in the past two years.
The company currently has a production capacity of 14,000 tons of silicon dioxide and 10,000 tons of alumina per year.
In terms of new production capacity, the company's annual output of 20,000 tons of ultra-fine silica gel project will further consolidate the company's leading position in the industry.
The opening agent and antirust agent will be released soon, which will become a new engine of growth. The products of mouth opening agent and antirust agent have high added value, and the prices in the first half of 22 years are 265,000 yuan / ton and 2900000 yuan / ton respectively. The company's products have excellent performance and have a price advantage compared with foreign suppliers. At present, the opening agent of the company has been successfully introduced into petrochemical enterprises, and the antirust agent has been supplied in small quantities for the global paint giant companies. with the continuous improvement of product recognition, sales are expected to further increase, leading to the growth of the company's profits.
Lay out high-end products and develop the second growth curve. In March 2023, the company signed an "entry Agreement" with the Maanshan Municipal Government, planning 20,000 tons of catalyst carrier and waterborne resin respectively, with high added value. In addition, the company accelerates the large-scale production of waterborne resin through epitaxial mergers and acquisitions, and the silicon dioxide project with an annual production capacity of 26000 tons of battery material is in the signing stage. The company accelerates its layout in the high-end field, and with the gradual landing of the project, it will contribute the second driving force to the company's performance in the long term.
Risk hints: production falls short of expectations, raw material prices fluctuate sharply, and market competition aggravates risks.