Jiangsu Yunyong Electronics And Technology Co.Ltd(688060) (688060)
Leader of power information security, rising in the “double carbon” era
The company is a pioneer in China’s power information security, benefiting from the high prosperity of the smart grid industry brought by the “double carbon” construction, and the power information security business is expected to increase rapidly. At the same time, the company releases the charging and billing unit, enters the trillion level charging pile Market, prospectively arranges DC-DC power supply, Internet of things, zero trust and other fields, and waits for the future increase. We estimate that the net profit attributable to the parent company from 2021 to 2023 will be 79 million yuan, 140 million yuan and 215 million yuan respectively, and EPS will be 131 million yuan, 2.33 million yuan and 3.59 million yuan respectively. The corresponding PE of the company’s current share price is 56.1, 31.5 and 20.5 times respectively, which is covered for the first time and given a “buy” rating.
Power information security: the investment in power grid security catalyzed by “double carbon” continues to boom and is expected to benefit fully in the future
Under the background of “double carbon”, the prosperity of power grid investment has accelerated. The “double carbon” goal requires that the proportion of electric energy in terminal energy consumption increase from 26% in 2020 to 35% in 2030 and 70% in 2060. The investment in smart grid is expected to continue to accelerate, and security is also a key link in the construction of smart grid. As the leader of power information security, the company is expected to continue to benefit from the construction of smart grid during the 14th Five Year Plan period.
Charging pile: the United Nations network electric layout charging pile construction to enter the trillion level charging pile market
The penetration of new energy vehicles has increased, giving birth to trillion market demand for charging piles. CCID consultant predicts that the number of Shanxi Guoxin Energy Corporation Limited(600617) vehicles will reach 64.2 million in 2030. According to the target of vehicle pile ratio of 1:1, a trillion level charging pile construction market will be formed in the next 10 years. The company has in-depth cooperation with State Grid Electric to cut into the charging pile business. At present, the charging and billing unit developed by the company in cooperation with State Grid Electric has been applied to the construction of charging pile of State Grid, which mainly realizes the functions of security authentication and data encryption and decryption. It is expected to continue in large quantities in the future.
Forward looking business: layout DC / DC, Internet of things and zero trust, and make a breakthrough in volume
DC / DC power supply: the company cooperates with beacon technology to expand the blue ocean market in the field of 5g communication and wireless base station power supply. Internet of things: the company has created a new intelligent Internet of things product series and entered the trillion market of China’s Internet of things. Zero Trust: the company implements remote office and intelligent transportation solutions based on the concept of zero trust, and embraces the Global 100 billion market.
Risk warning: “double carbon” landing is less than the expected risk, and the company’s technology R & D is less than the expected risk
