Investment highlight
The company has a wide layout, focus on investment, and cultivate superior business. The company's business is divided into three parts: enterprise informatization, information services and IT chain sales, while the company actively layout trusted (cloud) computing and car networking areas, trying to open up new business space. At present, the company focuses on the IT chain and enterprise information technology, which has a rapid growth rate and great contribution to performance, and we expect the company's revenue to benefit from the above key sectors.
The information service business waits for the policy to be clear, and Aiyou exchange needs to grow. The company's information service business includes online transaction business (telephone charge recharge, card exchange, etc.), communication value-added service and Internet lottery business. At present, the growth of online trading and communication value-added services is stable, and the Internet lottery is suspended under the influence of national policies. In 2015, the company launched "Aiyou Exchange". After scanning the I code issued by the enterprise, users can convert it into phone traffic on the Aiyou exchange platform. This move provides enterprises with new marketing tools and strengthens the card exchange business.
Layout trusted (cloud) computing and vehicle networking, trying to establish a new growth point of enterprise informatization.
Trusted (cloud) computing and car networking are currently two promising directions in the industry, and the company is constantly investing in research and development, trying to occupy a leading position in the industry; it plans to invest 50 million yuan to set up "Datang Gaohong Yiwu Innovation Research Institute" in Yiwu, Zhejiang Province, focusing on trusted (cloud) computing, vehicle networking, information security, e-commerce and other areas. The company is currently a member of China Open Source Cloud Alliance, Zhongguancun trusted Industry Alliance and China trusted Cloud Community, established a vehicle networking laboratory in cooperation with Datang Telecom Technology Industry Group Innovation Center and invested heavily in R & D of vehicle networking LTE-V technology.
Financial forecast
As the fixed increase plan is still under review, the impact of the fixed increase will not be considered for the time being. It is estimated that the company's operating income for 2016-2018 will be 82.8 million yuan (+ 11.5 pounds), net profit will be 1.05 pounds (+ 22.8), and EPS will be 0.18, 0.22, 0.24, respectively. After considering the fixed increase, the EPS will be thickened + 13.8 and "12.7" 13.4%.
Valuation and suggestion
Using segment valuation, Gaoyang Jiexun is given 50 times Pmax E and 30 times traditional business, with an estimated market capitalization of 2 billion yuan. The target market capitalization for 2016-2018 is 6.6 billion, 7.54 billion and 8.02 billion yuan. Based on the current total share capital, the 2016 target price is 11.15 yuan, corresponding to 63 times Pmax E. Cover for the first time, giving a "neutral" rating.
Risk.
The fierce competition in the enterprise information market has led to a decline in profit margins; the revenue of key customers in the upstream of IT chain sales business has declined; and the Internet lottery policy has been unclear for a long time.