Corson Technology: deep ploughing precision metal structures, horizontal expansion of business territory. The company has been ploughing precision metal structures for more than ten years, and the products are mainly used in consumer electronics, medical devices, automobiles, e-cigarettes and other industries, while horizontally expanding the business layout, with a perfect layout in the fields of medical devices, e-cigarettes and solid-state batteries.
Consumer electronics: the product line expands smoothly and the supplier status is gradually improved. The revenue of the company's consumer electronics business has basically formed a structure of notebook computers, tablets and smartphones accounting for about 1x3 each. In terms of customers, the company has gradually expanded from small pieces such as medium frames to large ones, covering multiple product lines such as iPhone, iPad and Macbook, and the status of suppliers has gradually improved. H customers, the company has successfully cut into the notebook supply chain, and the company has mastered a complete set of precision metal manufacturing services and supporting technology, and is expected to continue to benefit from the growth of domestic notebook customers; at the same time, we see the rise of new categories of consumer electronics represented by VR, which will also bring good growth for the company.
Emerging business: deep ploughing medical device business, layout in the field of e-cigarettes. In terms of medical devices, the company provides medical device structures for global head medical device companies such as Medtronic PLC and Johnson & Johnson, and established Corson Medical in 2019. The company adheres to the "big customer" strategy and is expected to benefit from the growth of high-end customers. In terms of e-cigarettes, the company provides metal structural parts for e-cigarette sets, such as internal brackets, shells and other products, and in 2018 Yuancheng Electronics to improve precision die-casting technology, with the gradual improvement of consumer requirements for the appearance of e-cigarettes, e-cigarette hardware materials will be changed from plastic to metal, ASP will be greatly enhanced, bringing new business growth for the company. At the same time, the company established Corson Qingtao together with Qingtao Development in March 2021, laying out the solid-state battery field ahead of schedule.
Profit forecasts and valuation recommendations. We estimate that the company's revenue from 2021 to 2023 will be 43.47 million yuan, an increase of 25.4 percent, 25.7 percent, 26.0 percent, and a year-on-year increase of 78.39 percent, 40.5 percent, 39.7 percent, respectively. Give the company 20 times PE in 21 years, corresponding to 13.27 yuan per share, with a "buy" rating.
Risk hint. Customer concentration risk, downstream industry fluctuation risk, market competition risk, cost and expense increase risk, exchange rate fluctuation risk.