2021-12-23 Guoyuan Securities Co., Ltd. conducted a study on Gaolan shares in the early morning and issued a research report "Gaolan Stock event Review: participating in the drafting of flexible straight Transmission Converter Valve Technical specifications, Electric Water cooling leading position is superior". This report gives a buy rating to Gaolan shares, and the current share price is 16.17 yuan.

Gaolan shares (300499)
Events:
Gaolan said on the investor interactive platform on December 21 that the company provided external cooling public cooling system for the converter stations of the three Gorges, such as the East China Sea Wind flexible HVDC transmission project, and participated in the drafting of the Technical Specification for flexible HVDC Converter Valves.
Guoyuan's point of view:
The volume of flexible direct transmission business has led to the improvement of the performance of Gaolan, the leader in the field of electric water cooling.
During the 14th five-year Plan period, structural changes will take place in the power grid, and large-scale HVDC transmission will take place, especially with the addition of flexible DC transmission technology to solve the problems of large-scale wind power photovoltaic power transmission and grid connection. Under the three major application scenarios of UHV hybrid DC, flexible back-to-back and far-reaching sea breeze transmission, the total investment of DC transmission project will reach more than 400 billion during the 14th five-year Plan period. The company is the main supplier of DC converter valve water cooling equipment in China, with many years of R & D and engineering experience, providing external cooling public cooling system for the converter stations of the three Gorges, such as the East China Sea Wind flexible HVDC transmission project. and participated in the drafting of "flexible HVDC converter valve technical specification" and other six national standards, the leading position is superior. The energy-producing company has 40 sets of DC converter valves, 300 sets of flexible AC and 300 sets of high-power electric transmission, ranking first in the field of electric and water cooling. As the only water-cooled equipment supplier in the power grid system, the large-scale development of HVDC will greatly improve the company's performance flexibility.
The trend of large-scale wind turbine increases the market scale and thickens the performance of Gaolan wind power water cooling.
The small wind turbine is limited by power, and the thermal management mainly adopts the air-cooled mode with lower installation price. The large-scale fan will lead to a substantial increase in fan power, and the thermal management mode will turn to water cooling in an all-round way. Recently, only the 14th five-year Plan of Zhangzhou and Yancheng has the new sea breeze installed capacity of 83GWh, corresponding to the new water cooling demand of 1.3 billion yuan, and the annual 60GWh installed capacity of onshore wind power corresponds to the new market scale of 900 million yuan. As the leader in the field of wind power water cooling and the only supplier of water cooling in the national network, the new market scale will greatly increase the company's future performance.
Wind power photovoltaic capacity has increased sharply, leading to the outbreak of energy storage water cooling market, and Gaolan shares are expected to benefit.
The installed capacity of wind power photovoltaic will increase significantly in the future, and we expect that the installed capacity of electrochemical energy storage will reach 150GW in 2025. As the first important index, the safety of energy storage battery will lead to the outbreak of energy storage water cooling market. The company has more than 20 years of experience in system-level water cooling projects, has the lowest secondary development cost in the same industry, and is expected to benefit from the high prosperity of energy storage water cooling market on a large scale. Recently, the company has entered the Ningde era of energy storage water cooling supply chain, as the only two water cooling suppliers in the market, there is huge room for growth.
Benefiting from the rapid increase in the penetration rate of new energy vehicles and the accelerated layout of business, Dongguan Sixiang is expected to grow.
The profit margins of Dongguan Sixiang's three major business modules heating, thermal insulation and FPC are much higher than those of competitors in the same industry, and the company's thermal insulation products are the industry leader. At the same time, based on the company's independent research and development strength, heating and FPC business areas will be rapid expansion. In the future, with the rapid increase in the penetration of new energy vehicles and the increase in the value of bicycles brought about by the expansion of the product line, we expect the company's business to double.
Investment advice and profit Forecast
Benefiting from the high prosperity in the downstream sector, the company's performance is expected to improve significantly. We estimate that the company's revenue from 2021 to 2023 will be 12.98amp 17.90 / 2.335 billion yuan, and the return net profit will be 1.15amp 2.15 / 333 million yuan. The current share price corresponds to an EPS of 0.41, 0.77, 1.19 yuan, and a PE of 40.4, 21.6, 14.0 times, maintaining a "buy" rating.
Risk hint
Product research and development is less than expected risk; industry competition aggravates risk; technology change risk

The stock has been rated by three agencies and three buy ratings in the last 90 days; the average institutional target price has been 22.41 in the past 90 days; according to the Securities Star valuation analysis tool, Gaolan (300499) good company has a rating of 2.5 stars, a good price rating of 2.5 stars, and a comprehensive valuation rating of 2.5 stars. (rating range: 1-5 stars, up to 5 stars)