\u3000\u30 Beijing Telesound Electronics Co.Ltd(003004) 74 Changsha Jingjia Microelectronics Co.Ltd(300474) )
Key investment points
The first order of 9 series is expected to land, opening up a situation for the company’s products to explore the general market.
On March 17, 2022, Jingmei, a Changsha Jingjia Microelectronics Co.Ltd(300474) subsidiary, signed a cooperation agreement with a company to purchase 100000 high-performance graphics processing chips and graphics cards from Jingmei, which can meet the needs of high-performance display and artificial intelligence computing such as GIS, games and virtualization. We judge that only the company’s latest 9-series GPU meets the above performance requirements. The first order of 9-series will make a good start for the company’s product development and general market.
Sign a strategic cooperation agreement to expand the field of application innovation and the public security information market.
On March 17, 2022, Changsha Jingjia Microelectronics Co.Ltd(300474) signed a strategic cooperation agreement with a company to jointly research and develop special PC equipment and server equipment for public security. The company has been rooted in the public security information industry for more than 20 years and has long-term cooperation with public security departments in many provinces and cities. After cooperation, the company will promote the national public security dedicated PC and server with a brand of the Ministry of public security or Changsha Jingjia Microelectronics Co.Ltd(300474) brand. We believe that the public security informatization industry has rich application scenarios and huge market space. This strategic cooperation will greatly help the company’s products expand the application innovation field and the public security informatization market.
The replacement of accounting firms is a normal bidding rotation, which helps to strengthen compliance and internal control.
According to the reply to the concern letter of the original accounting firm, considering the long service life of the firm, in order to ensure the independence and objectivity of audit work, the company strengthens corporate governance by rotating audit institutions, so it does not constitute audit risk.
Catalyst
1) launch of a round of construction of innovation in party, government and industry credit; 2) 9 series is continuously promoted in the general market; 3) Listing of domestic CPU manufacturers such as haiguang to improve market expectation and valuation; 4) The company’s new product line has made progress.
Profit forecast and valuation
We predict that the company’s revenue from 2021 to 2023 will be 1.144, 1.800 and 2.626 billion yuan; The net profit attributable to the parent company was 283 million yuan, 445 million yuan and 702 million yuan respectively; Give the company 100 times the target P / E ratio in 2022, corresponding to the target market value of 44.5 billion yuan, the target price of 147.78 yuan / share, with an increase space of 38.76%, and maintain the “buy” rating.
Risk warning: the demand of information innovation and military industry does not meet expectations; Supply chain constraints; Industry competition.
