Dali Technology (002214): The company proactively raised the repurchase price to show development confidence
Core points: 1.
On the 22nd of the event, the company announced that based on its confidence in the company’s future business development and market value, and also to ensure the smooth implementation of the company’s share repurchase, it agreed to repurchase the share price from no more than RMB14.
80 yuan / share (inclusive) adjusted to not more than RMB 26.
00 yuan / share (inclusive).
2.Our Analysis and Judgment (1) Proactively raise the repurchase price, highlighting the development confidence The company announced on December 28, 2019 that the scale of the proposed repurchase funds does not exceed 50 million yuan, does not exceed 100 million yuan, and the repurchase price does not exceed 14.
80 yuan / share, the repurchased shares are used to implement distribution incentives for the company’s core backbone employees.
As of January 31, 2020, the company gradually repurchased 32.
60,000 shares with a repurchase 夜来香体验网 amount of 367.
90,000 yuan, average price 11.
3 yuan / share.
With significant advances in February, the company missed the repo window.
This time, the company actively increased the repurchase price by 76% to 26 yuan / share, which shows the company’s confidence in future business development.
(B) Infrared temperature measurement equipment leader, benefiting from the outbreak of epidemic demand According to the latest information on the website of the Ministry of Industry and Information Technology on February 2, the existing Ministry of Industry and Information Technology received a total of about 20,000 units from various aspects of infrared temperature detectors, and the handheld was more than 30Ten thousand units, the above data are only preliminary forecasts.
According to the calculation of the epidemic prevention 杭州夜网 and control indicators, the Ministry of Industry and Information Technology estimates that the entire market will require about 60,000 automatic infrared body temperature detectors and about 550,000 handheld devices.
Judging from the current market capacity, the gap has been broken, but the reorganized production enterprises have resumed work after the holiday, and the market demand has gradually filled the gap.
In addition, a large number of confirmed cases have occurred in Japan, South Korea, Italy, and Italy, and the inflection point has not yet appeared, which means that the development of the epidemic may cause more cases to appear or more countries to follow.
We believe that the global prevention and control upgrade is imminent, and the gap in the demand for infrared body temperature detection equipment may further expand.
At present, there are only a dozen companies in the world with a complete infrared industry chain. As an important participant, Dali Technology has benefited from the double explosion of the temperature measurement market at home and abroad.
After the epidemic, Dali Technology responded quickly and invested in two products, namely a body temperature intelligent screening system and a handheld body temperature screener, to quickly identify patients with hyperthermia in crowded places such as airports, stations, and docks.
According to the company’s announcement, as of February 15, the company’s existing 3,000 sets of infrared thermal imaging equipment have been deployed throughout the country to take concrete actions to support epidemic prevention and control.
And the upstream enterprises will gradually resume work, and the company’s daily production capacity will also be increased to more than 300 sets.
We believe that the company, as a strategic material supplier for the epidemic situation that the Ministry of Industry and Information Technology is focusing on, may obviously benefit from domestic and international infrared temperature measurement equipment blowouts in the short term.
In the future, people will pay more attention to prevention awareness, and the need for stocking in crowded places will ensure the sustainable contribution of the company’s infrared temperature measurement equipment.
Looking into the next two years, taking into account the short-term and long-term needs of diseases at home and abroad, we will increase the infrared temperature measurement business to the company’s revenue contribution to 800 million and 4 billion by 2020 and 2021, respectively, and help the company’s civilian products business continue to grow.Stairs.
(3) Deeply plowing the power industry, inspection robots are welcoming a rapid growth period. According to the State Grid ‘s outlook and advancement of intelligent operation inspection technology for transformer substations, it has become an inevitable trend to use robots to replace manual inspection inspections.
According to the statistics and forecast of China Electric Power Enterprise Federation, the number of domestic 110KV and above substations is currently more than 20,000, and it is expected to exceed 30,000 in 2020.
In addition, according to the plans of the State Grid and China Southern Power Grid, the intelligent transformation rate of reconstruction hubs and central substations will reach 100%.
According to the forecast of the intelligent transformation progress of 10% per year, in the next five years, the annual demand for domestic inspection robots for substations will be 2,000 to 3,000 units, valued at about 1.6 billion to 2.4 billion, and the market space is broad.
With the continuous increase in the number of variants, the number of distributions has increased geometrically. It is difficult to achieve comprehensive and accurate inspections simply relying on human labor. Therefore, the inspection of robotic products to replace distribution stations is particularly urgent.
According to the “Distribution Network Construction and Transformation Action Plan”, the domestic distribution automation coverage rate will reach 90% by 2020.
If 20% of automated distribution stations use intelligent inspection equipment, the annual demand for distribution station inspection robots will exceed 10,000 in the next five years.
In recent years, the company has been deeply cultivating the power industry. The inspection robot technology has become increasingly mature, the market development has achieved remarkable results, and it will continue to benefit in the future.
In addition, the company has mastered the core infrared imaging technology. Compared with other integrators, the company’s inspection robot products have a gross profit margin of 67% in 2018 and a stronger profitability.
(4) “Small and beautiful” merger “low risk”, long-term investment value highlights the company’s pure business, since the listing focused on infrared products and its application business, high technical barriers.
At present, the military market demand is rapidly released, and the penetration rate is continuously increasing. The civilian market such as power and temperature measurement has ushered in a booming period and market space. The company has been deeply cultivating the infrared field for many years.
There has been no mergers and acquisitions in the history of the company, and there is no high amount of goodwill.
Although the actual controller has a high proportion of pledges, about 68%, the average value of the pledge date gradually expands, and the risk of pledged liquidation is reduced.
Both “small and beautiful” and “low risk” have long-term investment value.
3．Investment suggestions Considering the short-term and long-term impact of domestic and foreign demand on the company’s infrared temperature measurement business, we appropriately raised the company’s net profit attributable to its mother from 2019 to 2021.
40 billion, 3.
0.8 billion and 2.
88 trillion, EPS is 0.
31 yuan, 0.
67 yuan and 0.
63 yuan, currently corresponding to the corresponding PE is 67x, 31x and 33x.
With reference to the average assessment of 64 times by comparable companies in 2020, the company’s estimated advantages are very obvious.
In addition, if the epidemic is not controlled globally, the company’s infrared temperature measurement business may still exceed expectations, and maintain the “recommended” level.
Risk reminder: The risk that military orders are less than expected and that the civilian product market will expand unfavorably.