Hang Ke Technology (688006) New Share Report: Leading Lithium Battery Equipment Leader

Hang Ke Technology (688006) New Share Report: Leading Lithium Battery Equipment Leader

Take the Dongfeng of the new energy automobile industry and focus on the lithium battery back-end process equipment.

Since its establishment, the company has been committed to the design, development, production and sales of various types of rechargeable batteries, especially lithium battery post-processing systems.

From 2015 to 2018, the company’s revenue CAGR reached 62.

At 6%, the net profit CAGR reached 71.

2%.

Among them, the core product charge and discharge equipment achieved revenue in 20189.

1 ‰, accounting for 82%, the gross profit level has remained above 50% in the past two years.

The company’s customers are mainly overseas battery manufacturers such as LG and Samsung, which are less affected by the withdrawal of domestic new energy subsidies. It is more certain to expand production in the next two years.

After the completion of the IPO investment project “lithium ion battery intelligent production line manufacturing expansion project”, it will increase the annual output of 30 intelligent lithium battery production line post-processing systems.

Market concentration continued to increase, and Hengqiang, the leading technology leader.

Looking at the entire domestic market, the traditional equipment is the mainstream, and large-scale technology-leading latecomers coexist.

The companies with a better market reputation are mainly concentrated in more than 10 companies such as Hangke Technology, Titan New Power, Ruineng Co., Ltd. and Nebula Co., Ltd., with CR10 reaching 60%.

According to our calculations, the market share of Hangke Technology is about 18%.

It is expected that in the next two years, with the continuous increase in the concentration of downstream manufacturers, equipment manufacturers are also facing the trend of business differentiation, and leading technology companies may win the competition.

The development path is clear, grasping the mega power battery trend.

The company’s charge and discharge equipment for soft pack batteries accounted for the largest proportion (63%), increasing from 7% in 2016 to 33% in 2018.

We believe that the conversion of domestic production of some core raw materials and the continuous improvement of laminated device performance, and the improvement of the penetration rate of soft pack batteries that have energy density advantages and are more popular with international 苏州夜网论坛 manufacturers are imperative.

In the future, lithium battery post-processing equipment will develop in the direction of energy feedback, high precision, high efficiency, and automatic production lines, and the company is expected to gain an opportunity in the industry.

The company’s reasonable market value is 83.

20,000 yuan, reasonable and sustainable is 20.

75 yuan / share.

Companies with strong benchmarks at home and abroad, PE relative estimation method is more suitable for companies.

We have selected the leading smart leader of lithium battery equipment (2019 PE forecast is 27 times), Yinghe Technology, Keheng Co., Ltd. (22 times), and the company’s international leader PNE Solution (the historical PE is 24 times in 2018).

We expect a compound growth rate of 21% in 2019-2021, given the company’s high 武汉夜网论坛 growth, give the company 1.

2x PEG.

Taking the PE / PEG estimation method into consideration, we believe that 26 times PE is a more suitable level of estimation for Hangke Technology, and the company’s reasonable market value ranks 83.

200000000.

Based on a total of 41 million shares after this issuance, Hang Ke Technology’s reasonable and actionable current point in time20.

75 yuan / share.

Because the company’s issue price is higher than 20.

75 yuan / share, and also draw investors’ attention to trading risks.

Risk reminder: the decline of the new economy caused by the decline of the macro economy, the decline of the new energy vehicle subsidy policy has led to the decline in the demand for new energy vehicles, the breakthrough of new technologies in the battery industry, the risk of losing value in research projects, and the loss of inventory impairment.