Event
The company issued the 2021 restricted Stock incentive Plan (draft) on the evening of June 9, 2021.
Comments:
According to the announcement, the incentive plan is to grant no more than 1.05 million restricted shares, covering 113 core talents, to no more than 1.05 million restricted shares, accounting for 1.93% of the company's total share capital (954000 shares for the first time and 96000 shares reserved). The grant price (including reservation grant) is 40.00 yuan per share. The total number of people awarded under this incentive plan for the first time is no more than 113, accounting for 10.55% of the total number of employees, including senior executives, core technical personnel, and so on. This incentive plan takes business income as the assessment target, and the assessment year is 2021-2023. 1) first grant part:
Taking 2021 as the base period, the growth rate of operating income from 2020 to 2023 is no less than 35%, 80% and 125%, respectively. 2) reserved portion: if the grant is completed in 2021, it will be consistent with the first grant; if the grant is completed in 2022, the growth rate of operating income from 2022 to 2023 will be no less than 80% and 125% respectively.
The high compound growth target of 31.04% of operating income for three years shows that the company is in a period of rapid growth, and operating income is selected as the assessment index of large-scale equity incentive for the first time. It shows the company's full confidence in operating ability and market competitiveness. In terms of expenses, assuming that it is granted at the end of June 2021, the total amortization cost of the first grant is expected to be 33.6295 million yuan, and the impact on the company's net profit from 2021 to 2024 is 1031.60 yuan, 1503.41 yuan, 649.88 yuan and 1.7806 million yuan respectively. We believe that although the amortization of incentive expenses will have a certain impact on the company's net profit in the next few years, the incentive plan is expected to significantly enhance the cohesion of the company's employees, enhance the stability and enthusiasm of the team, and improve business efficiency.
The demand for construction informatization is still in the early growth stage, and the company with broad room for growth in the intelligent construction site market is one of the earliest domestic enterprises to enter the subdivision field of construction informatization, and its main products are building information software and intelligent construction site products. The intelligent construction site market is still in the stage of rapid development, and the products at this stage can only cover a small part of the demand of the construction site. In the future, the company will develop and produce new products to cover more customer needs, and at the same time iteratively optimize existing products to cover existing customer needs in a lower-cost way. Smart site business growth points: 1) strengthen market coverage: at present, the company's product coverage is relatively small, the company is expected to expand and strengthen the coverage of existing areas to promote business growth; 2) cover customer needs with more new products: the company continues to increase investment in research and development, research and development of new products according to customer needs, while iteratively optimizing existing products.
Investment advice and profit Forecast
The company focuses on the applied technology and products of "digital construction" in the construction stage. By increasing R & D investment, the company continues to open up the blue ocean market and has more room for growth. It is predicted that the operating income of the company from 2021 to 2023 is 5.17,6.93 and 921 million yuan, the net profit is 1.35,1.78 and 233 million yuan, the EPS is 2.47,3.27,4.29 yuan per share, and the PE is 29.41,22.23,16.97 times. At present, the computer (Shenwan) index PE TTM is 53.5 times, and the company has recently landed on the board. The PE is mainly running between 35 and 50 times. The expected return net profit CAGR for the next three years is 33.67%, and the corresponding target price for maintaining the company's target PE, of 50 times in 2021 is 123.50 yuan. Maintain a "buy" rating.
Risk hint
COVID-19 epidemic situation is repeated; downstream is greatly affected by the real estate industry policy and prosperity; sales area is concentrated; the research and development of some software products depends on the basic software development environment provided by Autodesk.