Dazhi Science and Technology: to build a chemical enterprise with two main industries going hand in hand
Founded in 2002, as one of the earliest domestic enterprises engaged in the production of new environmental protection surface engineering chemicals, the company enjoys a high reputation in the fields of coating additives, coating intermediates and so on. Seizing the tuyere period of new energy vehicles, the company began to get involved in the new energy power battery industry, and will open the double main business development model of "surface engineering chemicals + new energy power batteries".
Surface engineering chemicals: benefiting from the trend of energy saving and environmental protection, the development of surface engineering with broad prospects for high-end domestic substitution is closely related to various social and economic industries. According to the relevant statistics of the Chinese Academy of Engineering, 10% of the world's steel, 70% of the mechanical and electrical products, and 1/3 of the energy in the manufacturing and use of the products are directly consumed by friction and wear. Foreign-funded enterprises account for more than half of China's surface engineering chemicals market. With the technological enhancement of domestic enterprises, the "import substitution" effect of high-quality products is gradually reflected. The competitive advantage of the industry market began to gradually transfer from foreign manufacturers to domestic superior enterprises.
New energy power battery: high-quality track of "high growth + big space" the International Energy Agency report predicts that new energy vehicles may account for more than half of the cars in the world in 2040. China plans to account for 25% of the target sales of new energy vehicles by 2025, less than 5% at present. As the core component, the cost of power battery accounts for about 40%. The global market has gradually formed a stable situation of multi-oligopoly, and the industry head effect is significant and further expanded. Local manufacturers account for the vast majority of the domestic market, with nearly 88% of CR10 in 2019. The first echelon: absolute leader Ningde era, etc.; the potential rise of the second echelon: Guoxuan Hi-Tech, AVIC Lithium, Funeng Technology, Yiwei Lithium Energy, Xinwanda and so on. After the release of Dazhi science and technology capacity, the company is expected to get a piece of the industry.
The company's core competitiveness: "technology + gene + customer" to build a triple moat 1) pay attention to team building, core technology continuous iteration: the company's R & D team has rich experience in the surface engineering chemical industry; the members of the power battery technology R & D team are mainly from major battery companies in the industry or well-known car companies at home and abroad. 2) the advantages of industrial base and industrial genes are highlighted: the R & D accumulation of the company's wholly-owned subsidiaries Hunan Linpai, Sichuan Xinyamin and Suzhou Linpai New Energy provides an industrial basis for the company's rapid layout of power battery business. 3) the location advantage is obvious and the binding ability between upstream and downstream is strong: the company has location advantage in traditional surface engineering chemicals; the shareholding structure of the company's controlling shareholders is related to Weima Automobile. Power battery also forms an upstream and downstream relationship with Weima Automobile, and industrial synergy effect may provide good support for the company to expand its territory in the field of power battery.
Profit forecast and valuation: it is estimated that the return net profit of the company from 2020 to 2022 is 0.30max 0.47 / 91 million yuan respectively, corresponding to 81.41max 52.17max 27.10X. With reference to the comparable company valuation method, the company was given 43.02 times Pmax E in 2022, with a target price of 24.60 yuan. Cover for the first time, giving a "buy" rating.
Risk tips: market demand fluctuation risk, new product production is not as expected, company new related party transaction risk, etc.