Huizhou Desay Sv Automotive Co.Ltd(002920) (002920)
The company has the background of German manufacturing gene and state-owned assets, and is in the forefront of Tier1 in China. The company inherited the made in Germany gene and later transformed into a state-owned enterprise. At present, the ownership structure is stable, the state-owned assets background is prominent, and the employee shareholding ratio is high. In recent years, the company's products have expanded from cockpit domain to driving domain and intelligent network, and has accumulated a large number of car factory customers. The proportion of product sales of on-board entertainment system is the highest, and domestic sales account for the absolute proportion. From the current situation, the company has advantages in product layout, customer accumulation, operating efficiency and revenue volume, and is at the forefront of local Tier1, but there is still a large gap between local Tier1 and global Tier1.
Intelligently reconstruct the whole vehicle industry chain and bring two incremental fields of intelligent cockpit and automatic driving. In the era of automotive intelligence, vehicle manufacturers gradually began to cooperate with upstream chip and algorithm manufacturers, and even began to develop their own chips, algorithms and operating systems. The traditional industrial chain model was broken, and the living space of giant Tier1 was squeezed. On the other hand, intellectualization has brought new incremental space. In terms of intelligent cockpit, the value of automobile E-bike driven by intelligent cockpit, multi screen and large screen. With the continuous improvement of cockpit product penetration, it is expected that China's cockpit market will grow to 103 billion yuan in 2025, with a compound growth rate of 15.18% in 19-25 years. In terms of automatic driving, automatic driving laws and regulations have been successively issued outside China, and the industry has developed steadily. In particular, Germany's approval of Mercedes Benz L3 automatic driving indicates that automatic driving has opened a new era. At present, the automatic driving level of mass-produced vehicles in China is penetrating from L2 to L3, and the annual compound growth rate of the automatic driving market scale in 20-30 years is 22%.
In the wave of change, local Tier1 is facing opportunities, and the company's leading products and customers are expected to change. In the process of promoting intelligent automobile, the pattern of intelligent cockpit and intelligent driving domain has not been formed, which has become a good opportunity for domestic Tier1 to make a breakthrough. In terms of intelligent cockpit, in the era of internal combustion engine, China's external cockpit market is dominated by foreign Tier1 leaders such as mainland China, Visteon and Bosch, The era of intelligent vehicle and machine is represented by China Tier1 leader Huizhou Desay Sv Automotive Co.Ltd(002920) in the information and entertainment system (with screen and 10 inch +) front loading, central control multimedia main system, full-size LCD instrument and other fields occupy the forefront of market share. Based on this, Tier1 represented by Desai in China is expected to continue to expand its advantages. In terms of automatic driving, with automatic driving domain controller as the competitive focus, vehicle manufacturers, scientific and technological enterprises, local third-party Tier1 and overseas Tier1 are in the four trends China Tier1 represented by Huizhou Desay Sv Automotive Co.Ltd(002920) can still maintain its competitiveness. From the perspective of representing the competitiveness of enterprises, Huizhou Desay Sv Automotive Co.Ltd(002920) is committed to improving the product line, continuously iterating with customers, and cooperating with the upstream and downstream of the industrial chain to build an automatic driving domain controller, which is expected to seize the opportunity and lead the trend in the era of automotive intelligence.
Profit forecast and investment rating of the company: we estimate that the net profit of the company from 2021 to 2023 will be RMB 784 million, RMB 1109 million and RMB 1443 million respectively, and the corresponding EPS will be RMB 142 million, RMB 202 million and RMB 262 million respectively. The current share price corresponds to PE values of 110, 78 and 60 times from 2021 to 2023 respectively. Optimistic about the barriers created by the company's product power and customer resource accumulation, the company is expected to accelerate its growth in the rising prosperity of driving information display system, automatic driving domain controller and ADAS products, and give a "recommended" rating for the first time.
Risk warning: the driving information display system is not advancing as expected; The customer of autopilot domain controller did not advance as expected; Adas products are not progressing as expected
