\u3000\u3 China Vanke Co.Ltd(000002) 881 Meig Smart Technology Co.Ltd(002881) )
The performance is growing rapidly, and the emerging leader of intelligent module has broad prospects
The company released the annual performance express in 2021. In 2021, the operating revenue was 1.969 billion yuan, a year-on-year increase of 75.68%, and the net profit attributable to the parent company was 118 million yuan, a year-on-year increase of 330.70%; The non net profit deducted was 67 million yuan, a year-on-year increase of 312.08%; Slightly lower than expected. The company is deeply engaged in the module industry. In 2021, the shipment volume of data transmission / intelligent modules increased rapidly. At the same time, the company rapidly expanded its business in the three directions of intelligent Internet connected vehicle, FWA (fixed wireless access) and Internet of things pan link, and opened a new version of the map. With strong endogenous technology, product R & D strength and broad external market, the company’s performance is expected to maintain high growth for a long time. We maintain the expectation that the net profit attributable to the parent company from 2022 to 2023 is 182 / 298 million yuan respectively, the corresponding EPS is 0.99/1.62 yuan / share respectively, and the PE corresponding to the current stock price is 33.0 / 20.1 times respectively, maintaining the “buy” rating.
Wireless communication modules and Internet of things solutions work together to promote volume expansion and continuously enhance profitability
During the reporting period, the company’s revenue achieved rapid growth, mainly due to the rapid increase in the shipment of two business products of the company’s wireless communication modules and Internet of things solutions. In terms of module business, thanks to the company’s deep product design and R & D capabilities in the field of intelligent modules, the products are favored by many customers such as new retail, logistics code scanning and face recognition, and gradually extend to a wider industry; The standard data transmission module has benefited from 5g development, and the product line has been improved day by day, constantly breaking through major customers such as overseas operators. In terms of Internet of things solutions, the company has made continuous efforts in the fields of intelligent Internet connected vehicles, FWA and Internet of things pan connection, and achieved good performance and many strategic customers. With the expansion of the company’s size, the scale effect is gradually reflected. The net interest rate of the company will increase from 2.4% in 2020 to 6.0% in 2021. This trend is expected to continue in the future.
Set sail for the Internet of things, 5g and smart car blue ocean market
At present, the company has a firm foothold in the module field. Under the background of the rapid penetration of the Internet of things and the Internet of things, the products are expected to continue to grow rapidly with high-quality performance and flexible adaptability. FWA seizes the opportunity to quickly seize the domestic and foreign markets and continuously improve the global sales channels, which is expected to enjoy the improvement of the competition pattern and the dividend of 5g construction. In the field of intelligent networked vehicles, focusing on 5g communication, multimedia processing and other directions, supporting Qualcomm’s new generation chips and combined with the company’s strong software and hardware development capabilities, the company’s products have been supplied to international first-class automotive suppliers and flagship models of head new energy vehicle enterprises. In the future, with the expansion of customers, it is expected to open up new growth space.
Risk tip: the price of raw materials has risen sharply, competition has intensified, etc.
