1. Event:
The company signed the Capital increase Agreement of Fujian Ningde Zhixiang Unlimited Technology Co., Ltd., and the company intends to subscribe for Ningde Zhixiang shares with 200 million yuan in cash.
The company and Ningde Zhihuan signed a framework agreement on the cooperation between Hangzhou Zhongheng Electric Co., Ltd. and Fujian Ningde Zhihong Unlimited Technology Co., Ltd.
2. In-depth cooperation, Ningde sharing, layout sharing electric scooter charging market
Ningde Zhihong mainly operates two rounds of power exchange business for scooters, and the signing of the agreement will promote Ningde Zhixuan's priority in purchasing the new generation of intelligent switchgear, as well as the priority of cooperative development of products and services related to the energy Internet and the new generation smart switchboard project. At the same time, the company's product expansion in the above areas will have a positive impact on the market expansion of existing energy storage, charging piles and energy Internet business.
3. Ningde Zhixiang has a superior shareholder background, and there is a broad market space for Hello booster.
According to Tianyan query, in addition to the Ningde era, Ningde Zhiheng also has Shanghai Junfeng and Shanghai Yunxin. From a penetrating point of view, the above two companies are Yongan Hong and Ant Financial Services Group respectively. Hello travel is an important layout of Yongan Bank and Ant Financial Services Group in the shared travel market. By the end of February 2020, Hello booster has entered more than 320 cities, and the company has a broad market for new business.
4. The market space for new business is vast. 5G, IDC, charging piles and electric power informationization are blooming in many places, and the profitability is gradually improved.
5G base station power "both in quantity and price", the company's non-low price first share won the bid operator collection, the communication power supply technology competitive advantage is remarkable; HVDC leader, Internet manufacturers and industry customer orders continue to grow; hand in hand DiDi Global Inc. cooperation with State Grid Evergrande, promoted to the domestic charging pile first echelon supplier; Zhongheng Borey focuses on power informatization, fully benefiting from ubiquitous power Internet of things and distribution power reform
5. Investment suggestions
According to the future 5G, IDC, new energy charging pile and other areas of the company's layout and orders, we expect the company's 2020-2021 net profit to be 143 million yuan and 187 million yuan respectively, corresponding to the current price PE is 57x/44x, maintaining the "overweight" rating.
6. Risk hint
The continuous spread of the global epidemic has led to a poor supply of key devices upstream; the application of HVDC in the data center field is not as expected; and 5G construction and bidding are not as expected.