Luyin Ecology (002887): Small and beautiful regional garden ecological leader orders heavy volume + low leverage performance 北京夜网 high growth can be expected
Regional ecological garden leader, order volume boosts performance growth: As the Tianjin ecological garden leader, the company is mainly engaged in ecological restoration and landscaping engineering construction, seedling planting and greening maintenance, and provides customers with integrated ecological environment construction overall solutions.As a state-level emerging company, the company has been ranked among the top 20 in the national landscape industry for many years.Since its listing in 2017, the company has been based in the Beijing-Tianjin-Hebei region, and has successively carried out strategic layout in core cities across the country, making full use of core city resource advantages, and establishing a cross-regional management system.Since 四川耍耍网 the beginning of 2019, the company’s new bids totaled more than 1.5 billion, which is more than the two new vertical orders each year in 2018.The heavy volume of company orders is the foundation for high value-added performance of the company’s performance. Financially sound debt ratio is low and profitability is at the forefront of the industry: from the asset side, the company ‘s monetary funds were terminated at the end of September 20182.22 trillion, suspected of selling financial assets 0.20,000 yuan, both of which account for 10 of the company’s total assets.5%; if the one-year internal maturity wealth management product purchased by the company’s air force is added, the company has more than 9 free cash.500 million, accounting for 45% of total assets.From the dividend end, as of the end of September 2018, the company has repaid all interest-bearing debts, short-term repetitive and long-term loan balances have been replaced by zero, and no bonds have been issued.Total accounts payable and bills payable 3.1.4 billion, accounting for 14.8%.The company has strong profitability, and the gross profit margin and net profit margin hit a new high. From 2016 to 2018Q1-3, the company’s net profit margin was 25.2%, 25.7%, 22.8%, far exceeding industry expectations. The total amount of monetary funds can be transmitted through the use of financial leverage space to enhance performance flexibility: the company’s asset-liability ratio is the lowest in the industry, and monetary funds are sufficient.As of the end of September 2018, the company’s asset-liability ratio was less than 20%, the lowest in the industry, and there was no interest resistance.If the accounts payable is excluded, the rejection rate is about 5%, which is far less than the rejection rate of 40% -50% of other large and medium-sized garden companies.There is a large space for subsequent financial leverage, which is conducive to enhancing the flexibility of the company’s performance. Investment suggestion: Maintain Overweight-A investment rating with 6-month target price of 26.0 yuan.We expect the company’s revenue growth to be -26 from 2018 to 2020.4%, 52.0%, 36.4%, net profit is 1.5.2 billion, 2.1.5 billion, 2.93 trillion, corresponding to price-earnings ratio of 21.8 times, 15.5 times and 11.3 times. Risk Warning: The progress of the project is less than expected, and the financing environment is deteriorating.