CHINA MOBILE(600941) 华鑫证券·2024-12-11 03:28Investment Rating - Buy (Initiation) [1] Core Views - The company's revenue and profitability have shown stable growth, with a net profit margin of 14.02% in the first three quarters of 2024, up 0.4 percentage points year-on-year [1] - The company is actively expanding into new business areas, including AI, big data, and 6G, which are expected to drive future growth [1] - The company's mobile customer base reached 1.004 billion in the first three quarters of 2024, with 539 million 5G customers, and its home broadband customer base reached 276 million [1] Financial Performance - Revenue for the first three quarters of 2024 was RMB 791.458 billion, up 2.05% year-on-year, with Q3 revenue at RMB 244.714 billion, down 0.05% year-on-year [1] - Net profit attributable to the parent company was RMB 30.680 billion in the first three quarters of 2024, up 4.59% year-on-year [1] - The company's revenue is expected to grow to RMB 1.048975 trillion, RMB 1.097018 trillion, and RMB 1.150772 trillion in 2024, 2025, and 2026, respectively [5] Business Segments - In the personal market, the company has 1.004 billion mobile customers, including 539 million 5G customers [1] - In the home market, the company has 314 million wired broadband customers, with 276 million home broadband customers [1] - In the enterprise market, the company is focusing on integrated "network + cloud + DICT" solutions, with DICT revenue showing strong growth [1] - In emerging markets, the company is expanding its content media and international business, with both segments showing rapid growth [1] Strategic Initiatives - The company is implementing three major plans: upgrading to new information infrastructure, an "AI+" action plan, and the "BASIC6" innovation plan [1] - The "AI+" action plan aims to achieve economies of scale in AI technology and applications, with the company already deploying 55,000 digital employees [1] - The "BASIC6" innovation plan focuses on big data, AI, security, capability platforms, computing networks, and 6G, with significant progress already made [1] Valuation and Forecast - The company's EPS is forecasted to be RMB 6.55, RMB 6.85, and RMB 7.18 in 2024, 2025, and 2026, respectively [1] - The current stock price implies a PE ratio of 16x, 16x, and 15x for 2024, 2025, and 2026, respectively [1] - The company's ROE is expected to be 9.9%, 9.6%, and 9.4% in 2024, 2025, and 2026, respectively [5]