The value logic of the hottest Jinjing technology

Jinjing Technology: the value logic has changed

in 2007, the parent company is a high-tech enterprise enjoying a preferential income tax rate of 15%. In 2008, the qualification of high-tech enterprises will be re examined and approved, and it will be provisionally withdrawn at 25% before the conclusion in October. Zibo Jinxing and Tengzhou Fumin, two welfare enterprises, especially in the areas of inflammation and tissue healing, have cancelled the preferential income tax relief since July 2007, and the return of value-added tax has been revised to the value-added tax policy of levying and refunding immediately according to the actual number of disabled persons arranged by the unit

considering that star products are unique products, considering the changes in glass supply and demand and the rising cost of raw materials such as soda ash and heavy oil, we believe that the glass price will continue to rise in 2008, and the overall price will be higher than that in 2007. However, in 2009, due to the high production capacity for two consecutive years, the launch price will face greater pressure. According to the current information, we tend to think that the glass price will be reduced in 2009. If the government starts the energy-saving glass market, it is the key to change this trend

based on the above business judgment, we believe that the gross profit rate of the company will continue to increase in 2008 and will decline slightly in 2009. The growth of glass performance is mainly due to: (1) the sales of ultra white glass increased from 1.4 million weight boxes in 2007 to 1.8 million weight boxes in 2008 and 2.4 million weight boxes in 2009; (2) High grade glass increased from 1.81 million weight boxes in 2007 to 3.87 million weight boxes in 2007, and promoted the revision of the national standard of ribbed steel to 4.08 million weight boxes

it is expected that the price of soda ash will continue to rise in the first half of 2008, but the price of soda ash will tend to decline in the second half of 2008, and the price of soda ash will continue to decline in 2009 due to the full release of production capacity. 600000 tons were put into operation on June 18 and 1million tons were put into operation on August 8, 2008. It is expected to achieve annual sales of 300000 tons and 810000 tons of soda ash; The annual gross profit margin of soda ash is 37% and 35%

the annual EPS is expected to be 1.18 yuan and 1.80 yuan, with an increase of 69% and 52% respectively; The annual EPS contribution of glass is 66% and 45%, and that of soda ash is 34% and 55%. Due to the adjustment of product structure and price changes, the net profit margin of the company maintained an upward trend. The biggest change in profit is

(1) the judgment of the price trend of glass and soda ash in 2009; (2) Sucker rod tensile performance testing machine is an unconventional machine, so the price of soda ash will affect the profit per ton of soda ash

at present, the investment value of the company is significantly different from the investment in the rising trend of the boom in 2007. In 2008, it was more incremental investment in soda ash projects and short-term boom rising investment. In 2009, glass and soda ash faced a downward boom, which would weaken the stability of value and valuation expectations

the most exciting opportunity is

(1) the country starts energy-saving glass to enlarge market demand; (2) The profit per ton of soda ash was higher than expected. The target price is 40 yuan