\u3000\u3000 China Stock Market News ( East Money Information Co.Ltd(300059) )
China stock market news disclosed the annual report of 2021, 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 58.94%; The net profit attributable to the parent company was 8.553 billion yuan, a year-on-year increase of 79.00%. 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 0.83 yuan, a year-on-year increase of 72.92%.
Fund business income increased by 71.27% year-on-year. In 2021, the company realized a fund business income of 5.073 billion yuan, with a year-on-year increase of 71.27%, accounting for 35%. In 2021, the company’s fund sales scale increased significantly and its market share continued to increase. By the end of 2021, a total of 12777 fund products of 150 public fund managers had been launched, with fund sales of 2238571 billion yuan, including 1340409 billion yuan of non monetary funds. By the end of 2021, Tiantian fund’s non money market public funds had a scale of 673.9 billion yuan. The daily average number of active users of Tiantian fund platform is 3.147 million, including 3.9481 million active users on trading days and 1.5512 million active users on non trading days.
The revenue from securities business increased by 54.30% year-on-year. In 2021, the capital market was highly active. The average daily turnover of A-Shares was 1058.7 billion yuan, a year-on-year increase of 24.83%. The company’s securities business achieved rapid development, realizing a securities business revenue of 7.687 billion yuan, a year-on-year increase of 54.30%, accounting for 59%. The company further gives play to the core competitive advantages and overall synergy of the Internet wealth management ecosystem and a large number of users, strengthens R & D technology investment, improves intelligent and personalized service level, and enhances customer stickiness. During the reporting period, China stock market news securities was approved for the pilot exhibition qualification of public fund investment consulting business, explored a new model of wealth management and opened a new space for wealth management business.
Capital strength was further enhanced. In 2021, the company completed the issuance and listing of convertible bonds “Dongcai Zhuan 3”, raising a total of 15.8 billion yuan; Overseas subsidiaries completed the issuance and listing of overseas US dollar bonds and raised US $300 million; China stock market news securities has completed the issuance of short-term financing bonds, private placement bonds, public offering bonds and other bonds to further enrich financing means and reduce financing costs; Enhance the company’s capital strength and comprehensive competitiveness.
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 2022 to 2024 will be 10.172 billion yuan, 12.758 billion yuan and 15.628 billion yuan, with a growth rate of 19% / 25% / 22%. The PE corresponding to the current stock price is 26.5/21.1/17.2x and Pb is 6.2/5.4/4.7x. We maintain our buy rating for the company.
