WJP(301117) Soochow Securities·2025-02-23 09:27Investment Rating - The report assigns a "Buy" rating for the company, Jiarun Technology, for the first time [6]. Core Views - Jiarun Technology is a leader in the special information security industry, benefiting from military informatization and satellite internet, which provide sustained growth momentum [6]. - The company has a strong competitive advantage in the network information security field, focusing on defense, commercial encryption, healthcare, and government services [6]. - The company is expected to see significant profit recovery, with net profit forecasts for 2024-2026 showing substantial growth [6]. Summary by Sections Company Overview - Jiarun Technology has over 20 years of experience in information services, focusing on self-research and innovation [9]. - The company has optimized its industrial layout, enhancing its business strength [11]. - A stable shareholding structure supports revenue generation through subsidiaries [13]. - The company is poised for rapid growth due to increasing downstream demand [16]. Industry Analysis - The demand for information security remains strong, with high barriers to entry maintaining the company's leading position [25]. - The company offers a wide range of products across various sectors, including defense and healthcare [25]. - National policies support the information security industry, ensuring guaranteed growth for the company [31]. Financial Forecasts - The company is expected to achieve net profits of approximately 0.09 billion, 0.13 billion, and 0.20 billion for 2024, 2025, and 2026, respectively, with corresponding P/E ratios of 349, 254, and 165 [6]. - The report predicts a significant recovery in net profit for 2024, with an expected growth rate of around 300% [16]. - The overall gross margin is projected to stabilize at around 50% from 2024 to 2026 [59].