Mavericks still has room to rise from its target price.
US stocks closed on Thursday, Maverick Electric (NIU.US) rose against the trend by 6.82%, reported at 11.75 US dollars, the highest share price since April 15, 2019, the latest total market value of 878 million US dollars. Since 2020, the cumulative increase of Maverick Electric has reached 37.75%.
It is worth noting that the US stocks closed on Thursday, the three major stock indexes rose and fell, the Nasdaq fell 0.69%, the Dow rose 0.05%, and the S&P 500 fell 0.34 %. Most of the popular Chinese stocks closed down, of which Alibaba fell 0.26%, JD.com fell 0.37%, Pinduoduo fell 2.76%, NetEase fell 2.31%, Baidu fell 3.01%, and Bilibili fell 1.73%.
According to the previous financial report for the first quarter of 2020 released by Maverick Electric, Maverick Electric’s first quarter revenue was 233 million yuan (RMB, the same below), a year-on-year decrease of 34.4%, but higher than Bloomberg’s consensus expectation of 230 million yuan . In addition, there was a net loss of 26.4 million yuan in the first quarter, compared with a profit of 11.975 million yuan in the same period last year.
Mavericks estimates in its financial report that the company’s net revenue in the second quarter of 2020 will be between 585 million and 655 million yuan, a year-on-year increase of between 10% and 23%.
Although it is affected by the epidemic in the short term, the long-term development trend of Maverick Electric is improving. Guosheng Securities said in a previous research report that it is optimistic about the company’s brand moat in the field of lithium battery bicycles. In the long run, under the influence of the national epidemic, it is expected to further stimulate the demand for private transportation. Taking into account the impact of the epidemic in the short term, it is expected that the company’s net profit attributable to mothers will be 2.2, 3.1, and 450 million yuan from 2020 to 2022, corresponding to PE 22, 16, and 11 times, and maintain a “buy” rating.
In addition, on May 13th, the world’s largest index company Mingsheng Company (MSCI) announced the results of the semi-annual index review in May 2020. Mavericks was included in the MSCI China Small Stock Index. Effective after the close on the 29th.
As of June 5, Bloomberg tracked Mavericks’ 7 analysts, 7 of them gave it a “buy” rating, no “hold” or “sell” rating, and a 12-month target price of 11.88 US dollars.