Key investment points:
Investment suggestions: 1) complete vehicles and parts: in January 2022, China’s automobile sales volume was 2.531 million, with a year-on-year increase of 0.9%. In the first month of the year, it achieved a slight positive growth. With the gradual easing of the shortage of automobile chips and the expectation of stable growth policy, it is expected that the automobile production and sales volume will be further improved in the first quarter of 2022. It is suggested to pay attention to independent brands. Recently, the foundation of Midea’s new strategic base for new energy vehicle parts has been laid and started. It mainly produces power steering motors, electric compressors for new energy vehicles, drive motors for new energy vehicles and other products. The development trend of automobile electrification and intelligence provides good development opportunities for cross-border development of enterprises, The entry of home appliance high-quality parts enterprises into the field of auto parts will also intensify the competition in the field of automotive electric intelligence. Only high-quality parts with core leading technology, large production scale and stable cooperative relationship between auto enterprises can finally stand out. 2) . new energy vehicles: in January 2022, the sales volume of new energy vehicles was 431000, with a year-on-year increase of 135.8%. Under the background of rising prices of terminal products and high raw material prices of some auto enterprises, the sales performance was slightly better than the market expectation. We believe that there is no turning point in the current penetration rate of new energy vehicles, and in the continuous improvement of the product power of new energy vehicles Under the rich supply of high-quality models and the industrial scale effect, it is expected that the new energy vehicle industry will continue to develop well. It is suggested to focus on the implementation of lithium battery material technology innovation.
Market review: last week, the automobile (Shenwan) industry index rose 2.12%, outperforming the Shanghai and Shenzhen 300 index by 1.04 percentage points. Among them, the key subdivided industries rose or fell by 3.16% for passenger cars, 0.41% for commercial vehicles and 1.85% for auto parts. The wind new energy vehicle index rose 3.91%, 2.83 percentage points lower than the CSI 300 index. Among them, the key sub industries rose or fell by 5.80% for power battery, 6.84% for lithium positive electrode, 5.28% for lithium negative electrode, 5.72% for lithium diaphragm and 4.93% for electrolyte.
Industry trends: 1) invested 11 billion yuan to lay the foundation for Midea’s new strategic base of new energy auto parts; 2) In January, China Shipbuilding Industry Group Power Co.Ltd(600482) battery loading volume totaled 16.2gwh, with a year-on-year increase of 86.9%; 3) German regulators are investigating Tesla‘s automatic driving function..
Company dynamics: 1) Jiangsu Olive Sensors High-Tech Co.Ltd(300507) : Announcement on the company’s receipt of fixed-point bid winning notice; 2) , Hunan Zhongke Electric Co.Ltd(300035) : about the capital increase and share expansion of the subsidiary Zhongke Xingcheng graphite Co., Ltd. in Gui’an new area; 3) , Yunnan Energy New Material Co.Ltd(002812) : Announcement on the progress of signing the strategic cooperation framework agreement with Yuxi Municipal People’s government.
Risk factors: the sales volume of vehicles is lower than expected, the sales volume of new energy vehicles is lower than expected, and the policy is lower than expected.
