\u3000\u3 Shengda Resources Co.Ltd(000603) 501 Will Semiconductor Co.Ltd.Shanghai(603501) )
The company issued the announcement of granting stock options to incentive objects: the number of stock options granted in this incentive plan is 15 million, accounting for 1.71% of the total share capital on the date of announcement. 2349 persons were granted, accounting for 52.3% of the total 4493 employees of the company, and the exercise price was 166.85 yuan / share. The company sets the exercise proportion in 2023, 2024 and 2025 as 40%, 30% and 30% respectively. The performance assessment objective is: in the first exercise period of stock options, based on 2021, the growth rate of net profit attributable to parent company in 2022 shall not be less than 12%; In the second exercise period of stock options, based on 2021, the growth rate of net profit attributable to parent company in 2023 shall not be less than 35%; The third exercise period of stock options is based on 2021, and the growth rate of net profit attributable to parent company in 2024 shall not be less than 50%.
According to the guidance of high growth in the second quarter, the performance is expected to recover: the company's net profit attributable to the parent company in the first quarter of 2022 is 896 million yuan. With the positive adjustment of the company's product structure and the gradual recovery of major market segments, the company gives a more optimistic expectation for the second quarter. The net profit attributable to the parent company is expected to achieve a quarter on quarter growth of no less than 50%, that is, the expected net profit in the second quarter is higher than 896 1.5 = 1.344 billion yuan, It also increased by about 11% compared with the second quarter of 2021. According to IC insights, from 2021 to 2025, the average annual growth rate of the global vehicle and security CIS market will reach more than 30% and 20% respectively. With the continuous transformation of the company's product structure, it is expected to weaken the negative impact of the decline in mobile phone shipments. The company still has broad market promotion space.
Investment suggestion: the company is optimistic about opening the growth space of vehicle mounted and security cis to achieve stable and high-quality development. It is estimated that the operating revenue of the company from 2022 to 2024 will be 29.296 billion yuan, 36.792 billion yuan and 45.676 billion yuan respectively, with a year-on-year increase of 21.54%, 25.58% and 24.15%, and the net profit attributable to the parent company will be 5.514 billion yuan, 7.078 billion yuan and 8.450 billion yuan respectively, with a year-on-year increase of 23.19%, 28.36% and 19.38%. At present (May 17, 2022), the corresponding PE will be 25.89, 20.17 and 16.89 times, and the company will be given 35 times PE in 2022, with a target price of 220.15 yuan, Maintain the "buy" rating.
Risk tips: the risk of weak consumer electronics, the risk of slow resumption of automobile supply chain, the risk of epidemic spread, and the risk of deterioration of the international situation
