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Keshida (002518) first coverage report: data center and photovoltaic business development stable storage and charging business joint venture worth looking forward to

01/04/2020 0 Comment

Keshida (002518) first coverage report: data center and photovoltaic business development stable storage and charging business joint venture worth looking forward to
The company is a leading domestic data center infrastructure solution provider. The company started with an uninterruptible power supply (UPS) and gradually grew to become a leading domestic data center infrastructure solution provider based on product advantages.Benefiting from the improvement of the informatization level in various fields, the market demand for data centers and UPS continues to increase.The company actively adjusted its product structure, made continuous breakthroughs in the high-power UPS market, and increased the proportion of high-margin high-power products in revenue, which further enhanced the company’s profitability.The company has obvious advantages in traditional fields such as finance, rail transit, government and customers, and is developing new industry customers such as communications and IDC.The arrival of the 5G era will further drive the demand for communication power and data centers. The company’s 5G series products are expected to become new growth points. Actively lay out new energy industries. Rapid development of photovoltaic and energy storage businesses. Relying on the advantages of UPS technology, the company has successfully entered the photovoltaic inverter and energy storage PCS market.Affected by the “531” policy in 2018, the company’s photovoltaic business improved in 2018 and the first half of 2019.Looking into the future, the photovoltaic industry is gradually changing, and the future will gradually enter a steady growth period.The company’s layout of the charging pile business in 2014 has achieved certain results, and its income has been improved in the short term due to the impact of litigation returns. Established a joint venture with CATL, the future of energy storage and charging pile business is promising. The company and power battery leader CATL jointly established Ningde Times Kestar Technology Co., Ltd. (CATL 51%, company 49%). The joint venture will focus on energy storage PCS in the future. SpecialEnergy storage PACK, charging pile and “light storage” integration.Both parties attach great importance to this cooperation. The joint venture relies on the technical advantages and market structure of CATL lithium batteries and the company’s deep accumulation in power electronics conversion technology, and has a bright future.The joint venture is expected to start operations and contribute revenue in the second half of 2020淡水桑拿网. The plant in Ningde has now entered the plant layout and production line planning stage and is expected to start production in 2021. The first coverage is based on the “strong recommendation” rating. We are optimistic about the company’s steady growth in the future data center and photovoltaic inverter business. After the establishment of a joint venture with CATL, the energy storage and charging pile business is expected to witness explosive growth in the future, and the company will fully benefit.Investment income from joint ventures.It is expected that the company’s net profit attributable to the parent in 2019-2021 will be 3 respectively.19, 3.83, 4.23 trillion, the growth rate was 38.4%, 20.1%, 10.5%, corresponding to EPS are 0.55, 0.66, 0.73 yuan, the current sustainable corresponding PE for 2019-2021 is 16 respectively.4, 13.6 and 12.3 times.The first coverage was given a “strong recommendation” rating. Risk Warning: The data center business is less than expected, the price of photovoltaic inverters drops, and the progress of the joint venture is less than expected