\u3000\u3000 Shandong New Beiyang Information Technology Co.Ltd(002376) (002376)
Digital currency is promoted rapidly, and the company benefits from the functional integration and system construction of financial equipment. Recently, the management has actively repurchased and increased its holdings, reflecting its confidence in the development prospect. Maintain buy rating.
Key points supporting rating
The layout of the field of digital currency is significantly beneficial to the development of the industry. Recently, the company said on the investor interaction platform that the digital RMB is in the pilot and internal test stage. Previously, it said that it was developing corresponding products and solutions, professional functional modules and some software around digital currency. The company's smart financial business is leading in the industry. For example, in January, it won the bid for about 3326 sets of China Post STM project; The correlation between financial equipment and digital currency is mainly reflected in the integration support of transaction module and the promotion of digital currency related system construction by bank outlets. Recently, the central bank and other four departments issued the 14th five year plan for the development of financial standardization, emphasizing the legal digital currency standard and its application expansion. The implementation of digital currency is expected to accelerate, significantly catalyse the market space of corresponding products and functions, and the company's product value and customer renewal demand are expected to increase.
Actively repurchase, and the management recognizes the long-term value of the enterprise. On October 29, 2021, the company issued a share repurchase plan. According to the recent announcement, as of January 31, the company had repurchased 2703000 shares, accounting for 0.41% of the total share capital. Positive repurchase reflects the management's recognition of the long-term value and development confidence of the enterprise. In February, Lianzhong Li & Fung (Management shareholding platform), the second largest shareholder, increased its shareholding to 12.14%, and its market-oriented characteristics are expected to be further strengthened. The combination of confidence boost and enterprise vitality is expected to accelerate the growth rate.
Rising chip costs affect performance in the short term. In 2021, due to rising costs and other reasons, the company showed a trend of revenue growth and net profit pressure in the first three quarters. According to the blue book on the development of artificial intelligence industry in 2021, the AI industry has maintained a growth rate of more than 30% in recent years, with a scale of more than 450 billion yuan in 2025. On the basis of industry acceleration and revenue growth, if the supply chain is improved, the company's performance will return to the upward track.
Valuation
It is estimated that the net profit from 2021 to 2023 will be 170 million, 270 million and 360 million, EPS will be 0.26 yuan, 0.41 yuan and 0.54 yuan (due to the great impact of overseas complete machine business and high chip cost, the revision will be 56 ~ 63%), and the corresponding PE will be 33, 21 and 16 times. It is expected that the demand growth rate will increase in 2022 and the cost pressure will be gradually digested. At present, the valuation is low and the purchase rating will be maintained.
Main risks of rating
Overseas recovery is less than expected; Chip prices are soaring.
