The hottest prospect of Jiangsu Shentong spent fue

Jiangsu Shentong spent fuel treatment has a promising prospect and is expected to become a new performance growth point

China's spent fuel treatment capacity needs to be improved urgently and the market space is huge. It is expected that China will have thousands of self-regulation effects in 2020, so that after starting, it will not only want to compete with tons of spent fuel, but also correspond to the market space of 100 billion level. The company has the supply capacity of sampling system, air lifting system, storage well and other products in the field of spent fuel, and has obtained some orders. In the future, the downstream prosperity of spent fuel processing business will be improved, and the flexibility of spent fuel processing is huge. For the first time, Jiangsu Shentong, as a subdivision leader of metallurgy and nuclear power (ball and butterfly valve), will be the first to benefit from the recovery of downstream prosperity; It is expected to share the 100 billion level market by deepening the solid operation in the field of nuclear power, extending its business and prospectively arranging spent fuel reprocessing. We predict that the company's annual net profit attributable to the parent company will be 180/240/330 million yuan, with a year-on-year increase of 74.9%/33.3%/35.1%; EPS is 0.37/0.50/0.67 yuan/share respectively; The current share price corresponds to 23/17/13 times PE. If peg valuation is adopted, we take the compound growth rate of dynamic PE in 2020 and the net profit attributable to the parent company in the next two years as the calculation basis (cagr=34.2%), and get peg=0.50 1, indicating that the company has high growth and low valuation. Combining the two valuation methods, we give a "buy" rating for the first time

the combination of endogenous and external growth promotes the rapid growth of performance, and the subdivided leaders are expected to fully benefit from the strong demand in the downstream.

here, Jinan Shijin summarizes some methods. Jiangsu Shentong has more than 70% and 90% of the market share in metallurgical valves and nuclear power valves (ball and butterfly valves) respectively, and has expanded its business in the field of energy and energy-saving services through the acquisition of Wuxi flange and Ruifan energy conservation. In the past three years, the company has achieved high-speed growth in performance by combining endogenous and external growth with the recovery of downstream prosperity. After Juyuan Ruili raises its card, the company will continue to benefit from corporate governance, capital operation, resource coordination and other aspects by relying on Jinxi group

in terms of industries, 1) in the field of metallurgy, with the tightening of environmental protection, the relocation and reconstruction of some steel plants will rebuild production capacity. As the leader of valve products in the field of metallurgy, the company will greatly benefit from the new projects and subsequent maintenance of steel plants

2) in the field of nuclear power, the recovery of nuclear power construction is imminent. It is expected that new units will be approved every year in the future, corresponding to an annual increase of billion yuan in market space. As the main supplier of butterfly valves and ball valves in the field of nuclear power engineering in China, the company will continue to benefit from the accelerated construction of nuclear power projects. At the same time, with its steady style and years of accumulation in the field of nuclear power, the company will extend its business to the field of spent fuel processing, and is expected to continue to expand to other types of valves in the field of nuclear power in the future

spent fuel reprocessing has a market space of 100 billion yuan, which is expected to become a new performance growth point

China's spent fuel processing capacity urgently needs to be improved and the market space is huge. It is expected that China will produce thousands of tons of spent fuel in 2020, corresponding to a market space of 100 billion yuan. The company has the supply capacity of sampling system, air lifting system, storage well and other products in the field of spent fuel, and has obtained some orders. 9. The prospect of spent fuel treatment business is expected after the safety performance inspection of plastic tensile testing machine. (according to the valve information desk)