Anji Technology (688019) Investment Value Analysis Report: CMP polishing liquid faucet welcomes the golden age of the industry

Anji Technology (688019) Investment Value Analysis Report: CMP polishing liquid faucet welcomes the golden age of the industry

The company is a domestic leading CMP polishing liquid and graphite glue remover subdivision leading company with leading technological strength and continuous downstream demand growth.

We predict that the company’s EPS for 2019-2021 will be 1.

29/1.

69/2.

13 yuan / share, considering the company’s rapid growth and scarcity, combined with the PE level of comparable companies in the industry, give the company 95 times PE in 2020, corresponding to a target price of 160 yuan, for the first time coverage, give “Buy” rating.

   Leading company in semiconductor materials, technology leading two-wheel drive.

The company’s products include different series of chemical mechanical polishing fluids and photoresist removers, mainly in the areas of integrated circuit manufacturing and advanced packaging.

The company’s sales of chemical glue removers have increased year by year, and chemical mechanical polishing fluids have successfully broken the monopoly of foreign manufacturers in the integrated circuit field and realized import substitution.

The company’s chemical mechanical polishing fluid has achieved large-scale sales on 130-28nm technology, mainly vertical internal 8-inch and 12-inch mainstream wafer production lines, and 14nm technology production products have entered the customer certification stage.

   The rapid development of the integrated circuit industry has driven demand for upstream materials.

In 2018, Texas in major global regions reached 466.3 billion US dollars, an increase of 13 per year.

1%.

Benefiting from the continuous growth of demand in downstream consumer electronics, computers, communications, automotive Internet of Things and other end-use applications, the semiconductor semiconductor market is booming. In 2018, the domestic integrated circuit market size reached US $ 155 billion.It 厦门夜网 will reach $ 229 billion.

As important upstream raw materials for integrated circuit production, the market for graphite glue remover and chemical mechanical polishing fluid is expected to expand rapidly.

   Customer resources are high quality and the product market is highly recognized.

The company’s downstream customers are leading integrated circuit manufacturers in high-level industries, including China’s SMIC, Hua Hong Grace, Yangtze River Storage, China Resources Microelectronics and Taiwan’s TSMC.

The company’s downstream integrated circuit manufacturers and packaging and testing manufacturers have very strict requirements on key semiconductor materials such as chemical mechanical polishing fluids and photoresist removers, and there is a strict supplier certification mechanism.

Being a supplier to a first-class company shows that the company’s products are widely recognized in the market.

   Risk factors: market competition intensifies, trade frictions intensify, downstream demand shrinks, and capacity construction falls short of expectations.

   Investment suggestion: The company is a leading domestic CMP polishing solution and photoresist remover subdivision leader with leading technological strength and continuous downstream demand growth.

We predict that the company’s net profit attributable to the parent in 2019/2020/2021 will be 0.

68/0.

90/1.

13 trillion, corresponding to EPS forecast of 1.

29/1.

69/2.

13 yuan / share.

Since the company’s listing, the historical PE multiple is between 95-189 times. Considering the company’s rapid growth and scarcity, combined with a comparable company valuation, the company will be given 95 times PE in 2020, corresponding to a target price of 160 yuan.”Buy” rating.