Huachuang Securities: Maintains a "strong buy" rating on Gree Electric Appliances, with a target price of 60 yuan.

Huachuang Securities research report pointed out that Gree Electric's net profit attributable to mothers in 2024 was 32.185 billion, a year-on-year increase of 10.91%; the net profit attributable to mothers in Q1 2025 was 5.9 billion, a year-on-year increase of 26.3%. The company's overseas performance in 2024 was outstanding, and the revenue growth in Q1 2025 exceeded expectations. The company continues to optimize channel efficiency through refined management and digital operations; predicts market demand through data analysis to reduce inventory obsolescence risks; uses digital tools to monitor product circulation and improve product turnover rate. As a leading company in the industry with low valuation and high dividend yield, the company fully enjoys the industry dividend. With the implementation of policies driving demand in the home appliance industry, the company's configuration cost-effectiveness is highlighted. Using the DCF valuation method, the target price is adjusted to 60 yuan, and the "strong recommendation" rating is maintained.