JA Solar Technology (002459): Multi-division expansion of global leading photovoltaic module supplier accelerates growth

JA Solar Technology (002459): Multi-division expansion of global leading photovoltaic module supplier accelerates growth

Investment Highlights: JA Solar is a leading global manufacturer of high-end photovoltaic products.

JA Solar entered the photovoltaic industry in 2005. It is a large-scale photovoltaic product manufacturer. Its main business is the research and development, production and sales of photovoltaic modules, and it also derives new businesses such as investment and development of photovoltaic power stations.

The company achieved operating income of 196 in 2018.

4.9 杭州夜网论坛 billion, a slight decline 2 a year.

49%, achieving net profit attributable to mother 7.

190,000 yuan, an increase of 35 in ten years.

18%.

In the first half of 2019, the company achieved operating income of 88.

6.9 billion yuan, net profit attributable to mothers3.

9.4 billion.

According to the company’s performance forecast, it is expected that the initial company will realize net profit attributable to mothers in 2019.

40-12.

900,000 yuan, an increase of 30 in ten years.

71-79.

38%.

  Joint venture production and sales, brand channels set a leading position.

Global photovoltaic demand is rising steadily. We estimate that the new global installed capacity in 2020-2022 will be 140GW, 160GW, and 180GW, respectively.

The global module market space is expected to grow from USD 175.4 billion in 2019 to USD 2深圳丝袜会所06.7 billion in 2022.

The company has actively deployed globally, building 12 production bases at home and abroad, and establishing sales subsidiaries in 8 overseas countries, establishing a strong brand influence and channel advantages.

Overseas revenue accounted for 46 from 2016.

56% increased rapidly to 64 in the first half of 2019.

46%, reducing substitution to the domestic market.

As the second-ranked leading component manufacturer, the company introduces the simultaneous promotion of production and sales and is expected to gain more market share.

  Continuous research and development has created high-efficiency products, and the company’s market has significant additional benefits.

The company has been committed to the research and development and innovation of photovoltaic technology, and has continuously made breakthroughs. Its product performance is in the leading position in the industry.

Currently has 660 authorized patents, including 96 invention patents, ranking the forefront of the industry.

In addition, the company caters to the industrial development direction and makes technical reserves. The main core technologies cover the entire photovoltaic industry chain, and the research projects form the layout of the mainstream technology route. It is expected to continue to maintain technological advantages in the future.

Gradually expand the scale. The company’s scale promotes the continuous reduction of production costs through technological progress and optimization of production layout, and gradually realizes the efficient transformation of research and development results through the landing of new production lines, thereby enhancing technological advantages.

  Profit forecast and estimation: The company is a global leader in photovoltaic cell modules, and its return to A-share development is expected to accelerate.

We estimate that the company’s net profit attributable to the parent in the years 19-21 will be 10.

20, 14.

00, 18.

00 ppm, corresponding EPS is 0.

76, 1.

04, 1.

34 yuan / share, currently the corresponding PE is expected to be 23 times, 17 times, and 13 times.

The average comparable company in the past 20 years is evaluated 22 times, and we give the company an estimate of 22 times in 20 years.

Covered for the first time and given a “Buy” rating.  Risk reminder: Global photovoltaic installations are not up to expectations, and the group price has fallen sharply.