Matters:
In March 2022, a number of new car manufacturing forces released the delivery volume data in February. Weilai / Xiaopeng / ideal / Nezha / Zero run / extreme krypton delivered 6131 / 6225 / 8414 / 7117 / 3435 / 2916 cars respectively in February 2022, with a year-on-year increase of + 10% / + 180% / + 266% / + 255% / + 447% / -, and a month-on-month increase of – 36% / – 52% / – 31% / – 35% / – 58% / – 17% respectively. The ideal delivery volume ranks first among the new forces of self owned brand car making and second among Nezha (ranking top three among the new forces of self owned brand car making for two consecutive months). February was the off-season of passenger car sales due to the small number of days and the impact of the Spring Festival holiday. The sales volume of the industry generally declined month on month and did not change the long-term good trend.
Guoxin automobile’s view: This article is the sixth in the series of new forces of car making. Following the in-depth report “one of the series of new forces of car making – analyzing the four key points of the advanced race” in October 2020 and the comment on Q3 quarterly report of new forces of car making: bright production and sales data, positive gross profit, focusing on automatic driving technology in November 2020, Comments on Q4 quarterly & annual report of new car making forces in March 2021: the gross profit margin has become positive, and 2021 is expected to be the first year of popular electric models. In January 2022, the delivery volume of new car making forces in December reached a new high, and intelligent electric accelerated penetration. In February 2022, the sixth series of reports of new car making forces after the sales volume of new car making forces in January remained bright, and the market share continued to increase. Based on the weekly reports submitted by 13 key enterprises, China Automobile Industry Association calculated that the sales volume of the automobile industry in February 2022 is expected to complete 1.666 million vehicles, with a month on month decrease of 34.2% and a year-on-year increase of 13.8%; From January to February 2022, 4.196 million vehicles are expected to be completed, with a year-on-year increase of 5.7%. According to the data of the passenger Federation, in February 2022, the retail sales volume of China’s narrow passenger car terminals was preliminarily counted as 1312000, and the daily average retail sales volume was 47000, with a year-on-year increase of 10% and a month-on-month decrease of 37%. The overall delivery performance of the new forces of car making outperformed the industry. We believe that the core advantages of the new forces of car making lie in the flat and flexible organizational structure of Xiaopeng automobile, innovative and enterprising corporate culture, personalized high-end brand image and R & D advantages of software and hardware collaborative layout. The sales growth and new product polishing in 2021 have preliminarily proved their market competitiveness. The core focus in 2022 and the next few years lies in delivery volume, product matrix, brand barriers and profit and loss balance. The important challenges lie in supply chain management, organization expansion, channel laying and user demand. Nezha automobile is backed by 360 group. With channel sinking and differentiated positioning, it has a good development momentum and deserves attention.
Under the influence of the epidemic situation, geopolitics and other comprehensive factors, global commodity prices have continued to rise, the prices of important raw materials for automobile production such as aluminum, magnesium, lithium, steel, petroleum, rubber and chips have continued to rise, and the costs of complete vehicles and parts have continued to be under pressure. Since February, some complete vehicle enterprises have officially announced price increases, and the market is worried that the pressure on the supply side will eventually be transmitted to the demand side, The recent correction range of the automobile sector is large. We believe that the price trend of raw materials is difficult to predict in the short term, but the electric and intelligent upgrading trend of the automobile industry remains unchanged, which is still the main logic of the next 5-10 dimensions. Some parts have fallen to a reasonable valuation level, and the medium and long-term configuration value is prominent. We recommend hybrid ( Byd Company Limited(002594) / Great Wall / Geely) / Xiaopeng automobile and other new forces / Tesla / gac-e’an and its industrial chain in the direction of independent rise, and 1) the data flow direction focuses on sensors, domain controllers, wire controlled braking, air suspension, lights, glass, car machine, HUD, car audio and other links. 2) Direction of energy flow: pay attention to power battery, electric drive system, electric control of small and medium-sized micro motors, IGBT, high-voltage harness cable connector and other links. Recommendations for the subject matter include recommendations for ‘s Fuyao Glass Industry Group Co.Ltd(600660) \\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\\, Shandong Linglong Tyre Co.Ltd(601966) etc.
Comments:
Ideal delivery in February ranks first in the new forces of independent brand car making, and Nezha ranks first in the top three for two consecutive months
In March 2022, a number of new car manufacturing forces released the delivery volume data in February. Weilai / Xiaopeng / ideal / Nezha / Zero run / extreme krypton delivered 6131 / 6225 / 8414 / 7117 / 3435 / 2916 cars respectively in February 2022, with a year-on-year increase of + 10% / + 180% / + 266% / + 255% / + 447% / -, and a month-on-month increase of – 36% / – 52% / – 31% / – 35% / – 58% / – 17% respectively. The ideal delivery volume ranks first among the new forces of self owned brand car making and second among Nezha (ranking top three among the new forces of self owned brand car making for two consecutive months).
Based on the weekly reports submitted by 13 key enterprises, China Automobile Industry Association calculated that the sales volume of the automobile industry in February 2022 is expected to complete 1.666 million vehicles, with a month on month decrease of 34.2% and a year-on-year increase of 13.8%; From January to February 2022, 4.196 million vehicles are expected to be completed, with a year-on-year increase of 5.7%. According to the data of the passenger Federation, in February 2022, the retail sales volume of China’s narrow passenger car terminals was preliminarily counted as 1312000, and the daily average retail sales volume was 47000, with a year-on-year increase of 10% and a month-on-month decrease of 37%. The overall delivery performance of the new forces of car making outperformed the industry. According to the prediction of the China Travel Association, in the new energy market, affected by the decline of subsidies, the prices of many mainstream models were raised at the beginning of the year, but the consumer acceptance was good and the impact was relatively limited. In February, the new energy market will also become an important support for the improvement of the overall vehicle market. It is expected to maintain a three digit positive growth in the same period and the penetration rate will be close to 20%, The retail sales volume of new energy passenger vehicles is expected to reach 260000 in February. Looking at the data over the years, February belongs to the off-season of passenger car sales due to the small number of days, the impact of the Spring Festival holiday and other factors. The sales volume of the industry generally declined month on month and did not change the long-term positive trend.
Backed by 360 group, the channel sinks, and Nezha automobile deserves attention
Delivery performance: Nezha automobile has a good development momentum in recent years. From November 2021 to January 2022, Nezha automobile has achieved a delivery volume of more than 10000 vehicles per month for three consecutive months, and achieved a good result of 7117 vehicles per month in February 2022. Among the new forces of car manufacturing of major independent brands such as Weilai / Xiaopeng / ideal / Nezha / Zero run / extreme krypton, Nezha’s monthly delivery volume has repeatedly squeezed into the top three, and ranked second in October 2021 and February 2022. From the perspective of delivery volume alone, the gap between Nezha automobile and the first echelon of new car building forces represented by “Wei Xiaoli” has become smaller and smaller.
Market positioning: Nezha’s strategic positioning tends to become vivo in cars, and the product audience tends to be young people in third, fourth and fifth tier towns. According to the data of auto home, there are three main models of Nezha cars on sale at present, Nezha U (compact SUV, guidance price of 102800179800 yuan), Nezha V (small SUV, guidance price of 629 Hunan Valin Wire&Cable Co.Ltd(001208) 00 yuan) and Nezha N01 (small SUV, guidance price of 66800139800 yuan).
The average selling price of Nezha’s main models is less than 150000 yuan. It focuses on high cost performance, locates in the middle and low-end market, and competes differentially with “Wei Xiaoli” and other front-line car building new forces. From the dealer recruitment materials downloaded from Nezha’s official website, we can see that in the direct competition of Nezha’s benchmarking, BAIC, Chery, JAC, Dongfeng Fengshen and other car enterprises have higher priority, while Weima, Xiaopeng, Weilai and other new car making forces with relatively medium and high-end positioning lag behind.
