Dongmu Shares (600114): What is the current value of Dongmu Shares’ investment value?
In the short term, the company’s current main business auto parts and soft magnetic material profit levels will significantly improve in 2020. In the medium term, the volume of transmission parts and the expansion of the MIM business will provide considerable incremental space. In the long term, the companyThe business has huge growth potential.
The most important thing is that the company relies on its deep technical reserves in the field of powder metallurgy, can continuously expand its own ability circle, find the latest and best track, and continue to maintain its growth capacity, because the company’s products have diverse downstream application scenarios, we screened outWith some key indicators recommended for tracking, the brakes make a reasonable analysis 南京夜网 of the company’s current and future performance.
For the company itself, the utilization efficiency of fixed assets is a large key indicator. At the same time, because the company’s automation level and team professionalism lead the industry, the return on human expenditure can also improve these bonus indicators. From the industry indicators, we recommend tracking carsDemand indicators of joint venture car companies in the business, update the proportion of replacement demand, the trend of the photovoltaic and new energy industries in the soft magnetic business, the growth rate of consumer electronics demand in the MIM industry, and the penetration of MIM parts in automotive parts and medical devicesProfit forecast and investment recommendations such as the rate situation, and the company’s maximum production capacity are expected 南京夜网论坛 to continue to improve marginally and return to high levels in 2020, which will become the main factor for the recovery of traditional PM business; the soft magnetic business has entered the brand-new market driven by the technology wave due to its participation in the listingAt the development stage, the value is expected to be revalued; if the MIM business is successfully acquired, the company will become a global leader.
In the long run, the company is a powder metallurgy technology enterprise with high barriers. The ability to continuously switch tracks under technical advantages will open up huge growth space.
At present, the acquisition of Fuchi Hi-Tech is still uncertain, so it is not included in the profit forecast for the time being.
We estimate the company’s net profit attributable to its parent to be 2 in 2019-2021.
5.0 billion, corresponding to 0 EPS.
66 yuan, the current sustainable corresponding PE for 2019-2021 is 27.
1 and 15.
Maintain the “Highly Recommended” rating.
Risks remind that downstream economic recovery is less than expected downstream market acceptance of powder metallurgy products is less than expected