\u3000\u3000 China Stock Market News ( East Money Information Co.Ltd(300059) )
China stock market news disclosed the performance express, and the performance in 2021 was in line with expectations. In 2021, the company achieved an annual operating revenue of 13.094 billion yuan, a year-on-year increase of 58.9%; The net profit attributable to the parent company was 8.553 billion yuan, a year-on-year increase of 79.0%; After deducting non recurring profits and losses, the net profit attributable to shareholders of listed companies was 8.44 billion yuan, a year-on-year increase of 79.2%. In 2021, the weighted average return on net assets was 22.11%, an increase of 4.22 percentage points year-on-year. The basic earnings per share was 0.8 yuan, a year-on-year increase of 72.92%.
The trading volume of funds sold on a commission basis and the holding scale of funds sold on a commission basis have increased significantly, with obvious advantages in wealth management. The size of the company's fund holdings grew steadily. According to the data released by China Securities Investment Fund Industry Association, by the fourth quarter of 2021, the holding scale of Tiantian fund's non money market public funds has reached 673.9 billion yuan, ranking third in the industry. The holding scale of stock + mixed public funds is 537.1 billion yuan, also ranking third in the industry.
The income from securities business increased significantly, and the total assets increased by 67.7%. In 2021, the stock trading volume of the company's securities business and the scale of margin trading and securities lending business increased significantly year-on-year, and the income related to securities business increased significantly year-on-year. By the end of 2021, the total assets of the company had increased by 67.70% compared with the end of the previous year, mainly due to the rapid development of securities business and the significant increase of asset scale during the reporting period.
"Dongcai Zhuan 3" triggered conditional redemption and equity conversion to enhance capital strength. "Dongcaizhuan 3" triggered conditional redemption on January 24, 2022, and the redemption price was 100.18 yuan / piece. The total face value of the redemption of "Dongcai Zhuan 3" was 140612 million yuan, accounting for 0.09% of the total issuance, which had no significant impact on the company's financial situation, operating results and cash flow. As of the date when the "Dongcai Zhuan 3" stock conversion stopped, the "Dongcai Zhuan 3" stock conversion led to an increase of 670 million shares in the company's total share capital, further enhancing the company's capital strength.
Risk warning: the risk of the network financial information service industry affected by the fluctuation of the prosperity of the securities market; Risk of safe operation of one-stop Internet service platform and network information transmission system; The risk of intensified market competition; The market decline brings uncertainty to the performance of securities business.
Investment suggestion: as the only Internet brokerage of a shares, the company has a unique competitive track, obvious advantages in cost and flow, steady growth in the scale of fund ownership and further enhancement of capital strength. Based on the company's good performance and growth space, we predict that the net profit from 2021 to 2023 will be 8.379 billion yuan, 11.366 billion yuan and 14.972 billion yuan, with a growth rate of 75% / 36% / 32%. The PE corresponding to the current stock price is 29.9/22.1/16.7x and Pb is 5.7/4.7/4.1x. We maintain our buy rating for the company.
