AVIC Aircraft (000768): Win 20, Win 9 heavy weapon worth fighting against epidemic

AVIC Aircraft (000768): Win 20, Win 9 heavy weapon worth fighting against epidemic

Investment Highlights Event description: On February 13, 2020, according to President Xi Jinping’s order, multiple Air Force transport aircraft transported Wuhan Tianhe Airport, transported a large number of military medical personnel and medical supplies to Wuhan to fight the epidemic.

These include 6 transports of 20 large transports and 2 transports of 9 medium tactical transport aircraft.

For 杭州夜网论坛 the first time, the Yun 20 publicly performed large non-war military operations.

The Yun-20 is a large transport aircraft developed in advance.

The Yun-20 Air Force has participated in military parades and air shows many times, but this is the first time that a major non-war transportation mission has been publicly performed.

This shows that the Yun-20 aircraft has formed combat effectiveness.

The Yun-20 and Yun-9 aircrafts performing the transport mission this time will be an important part of the strategic transportation system of the Chinese military in the next 20 years.

With the batch of Yun 20 and Yun 9 equipment, the PLA’s strategic projection capabilities will be qualitatively improved.

AVIC aircraft is the core asset of large and medium-sized aircraft development in China: Yun 20 and Yun 9 aircraft are the main products of AVIC aircraft, and the company is the core asset of large and medium aircraft development in China.

In addition to transport aircraft, the early warning aircraft, refueling aircraft, anti-submarine aircraft, and electronic warfare aircraft based on the Yun 20 and Yun 9 platforms are important combat multipliers for our army.

The 6K, N series bombers and the next-generation stealth strategic bomber (Hom 20) are important weapons and equipment that meet the needs of the PLA’s strategic transformation.

In 2020, the company has many potential catalyst factors: the company has many new models and new orders, and as the new models gradually increase in volume, the company’s low net profit margin will significantly improve.

In addition, China’s large civil aircraft industry will also break out in 2020, and the company will benefit directly.

If Hong 20 is unveiled in 2020, it will continue to have a positive impact on the company.

Investment suggestion: Maintain “Buy-A” investment rating.

AVIC Aircraft (000768) is a core asset in the development of large and medium-sized aircraft in China. The main products are multipliers for combat effectiveness of our army. The company’s new models and new orders are full. We predict 北京夜网 that the company’s EPS in 2019, 2020 and 2021 will be 0.

28, 0.

42 and 0.

59 yuan.

The company’s corresponding PE is 56, 37, and 26 times the investment value.

Maintain “Buy-A” investment rating.
Risk Warning: 1. The progress of new model development is less than expected.

2. The number of new orders is less than expected