\u3000\u3 Guangdong Shaoneng Group Co.Ltd(000601) 688 Huatai Securities Co.Ltd(601688) )
The net profit attributable to the parent company increased by 23% year-on-year, and the roe increased 1PCT to 9.73% year-on-year. 1) In 2021, the company achieved an operating revenue of 37.905 billion yuan, a year-on-year increase of + 21%, and a net profit attributable to the parent company of 13.346 billion yuan, a year-on-year increase of + 23%. 2) The company will achieve roe9.5% in 202173%, year-on-year + 1PCT, nearly 2pct higher than the industry average. By the end of the year, the company’s equity multiplier had reached 4.44, down 0.06 from the beginning of the year. 3) Self operated, brokerage, investment banking, asset management, interest and direct investment income accounted for 33%, 23%, 13%, 13%, 11% and 8% respectively, of which the proportion of direct investment income fell 6pct.
The market share of brokerage and financing decreased slightly, and the IPO business continued to pick up and the market share increased. 1) In 21 years, the company achieved a brokerage income of 7.879 billion yuan, a year-on-year increase of + 22%, mainly benefiting from the improvement of market activity. The market share of stock based turnover decreased from 7.75% to 7.65%. 2) The balance of the two financial institutions increased by 11% to 137.7 billion yuan, and the market share fell to 7.52% from 7.67% at the beginning of the year, maintaining the second place in the industry. The interest income from margin trading reached 9.079 billion yuan, a year-on-year increase of 48%. Driven by this, the company realized a net interest income of 3.751 billion yuan in 21 years, a year-on-year increase of 44%. 3) In 21 years, the company achieved investment banking revenue of 4.344 billion yuan, a year-on-year increase of + 19%. According to wind data, the underwriting scale of the company’s shares and bonds in 21 years was 1.03 trillion yuan, and the market share increased from 6.52 to 7.97% year-on-year; The IPO business continued to pick up, with the main underwriting scale reaching 37.8 billion yuan, a year-on-year increase of 57%, and the market share rebounded from 2.65% in 19 years to 6.27%.
The scale of stock and fund financial assets increased significantly, and the asset scale of assetmark platform continued to expand. 1) By the end of the 21st century, the scale of self operated assets of the company had increased by + 17% to 398 billion yuan compared with the beginning of the year, and stocks and funds had increased by 97% and 103% to 116.3 billion yuan and 49.6 billion yuan compared with the beginning of the year, accounting for 29% and 12% from 17% and 7%. Led by market neutral strategies such as OTC derivatives and ficc, the self operated business continued to perform steadily. In 21 years, the company achieved self operated income of RMB 11.271 billion, a year-on-year increase of + 11%. 2) At the end of the 21st century, the company’s asset management scale decreased by 22% to 444.9 billion yuan (excluding public funds) compared with the beginning of the year, which still did not hinder the active management transformation effect, and the company’s asset management revenue increased by 41% to 4.45 billion yuan year-on-year. 3) At the end of the year, the asset scale of assetmark platform increased by 25% to US $93.488 billion. According to cerulli Association, as of 3q21, its market share in the US tamp market has remained stable at 11.1%, ranking third in the whole industry.
Profit forecast and investment suggestions
According to the annual report, fine tune the brokerage market share and other indicators, increase the BVPs forecast value from 16.98/18.70 to 17.18/18.86 yuan from 22 to 23, and increase the 24-year forecast value by 20.78 yuan. According to the comparable company valuation method, switch the valuation year to 2022, give the company 1.00xpb in 2022, adjust the target price to 17.18 yuan, and maintain the overweight rating.
Risk tips
The impact of the policy on the industry exceeded expectations; The dual impact of market fluctuations on industry performance and valuation.
