CMS(600999) 东吴证券·2025-03-28 13:28Investment Rating - The report assigns a "Buy" rating for the company, indicating a positive outlook for the stock's performance in the near term [1]. Core Insights - The company achieved a total revenue of 20.89 billion yuan in 2024, representing a year-on-year growth of 5.4%. The net profit attributable to shareholders reached 10.39 billion yuan, up 18.5% year-on-year, with an EPS of 1.13 yuan and a ROE of 8.8%, an increase of 0.9 percentage points year-on-year [9]. - The wealth management transformation has entered a new phase, with brokerage business revenue of 6.18 billion yuan, a year-on-year increase of 11.8%, accounting for 29.9% of total revenue. The company’s market share in brokerage decreased by 0.7 percentage points to 4.51% [9]. - Investment banking revenue declined by 34.2% to 860 million yuan, with a significant drop in equity underwriting scale by 42% to 13.84 billion yuan, ranking 6th in the industry. However, bond underwriting increased by 30.9% to 426.5 billion yuan, ranking 8th [9]. - The asset management business saw a slight revenue increase of 0.6% to 720 million yuan, with total asset management scale at 267.4 billion yuan, a decrease of 9.3% [9]. - The company’s investment strategy remains stable, with net investment income (including fair value) increasing by 41.6% to 9.53 billion yuan [9]. - The forecast for net profit attributable to shareholders for 2025-2027 is 12.3 billion, 13.1 billion, and 14 billion yuan, respectively, with expected year-on-year growth rates of 18%, 7%, and 7% [9]. Financial Summary - Total revenue for 2023 is projected at 19.82 billion yuan, with a year-on-year growth of 3.13%. The net profit for 2023 is estimated at 8.76 billion yuan, reflecting an 8.57% increase [1]. - The company’s P/E ratio is expected to decrease from 19.33 in 2023 to 11.30 by 2027, indicating a potentially undervalued stock as earnings grow [1]. - The company’s total assets are projected to grow from 721.16 billion yuan in 2024 to 821.19 billion yuan by 2027 [15].