Industry as a whole: the industry valuation was revised down in the first quarter, and the sub sector differentiation was more obvious
The overall valuation of the electronics industry in the first quarter has been revised down, which is mainly affected by the adjustment of the consumer electronics industry. However, the growth of photovoltaic power generation and electric smart vehicles is still relatively stable, and the configuration cost performance is becoming more and more prominent.
Power electronics: the construction of “green power grid” brings sustainable dividends to the industry
In the first quarter, photovoltaic, wind power and nuclear power industries maintained a steady and rapid growth trend, especially photovoltaic. Sub tracks benefiting from industrial growth include thin-film capacitors, grid connected transformers, photovoltaic glass, conductive silver paste, monocrystalline silicon, etc. The step-up grid connected transformer benefited from the demand for photovoltaic grid connection and ushered in a significant increase in market consumption. The thin-film capacitor also enjoyed the industry dividend in the incremental demand of photovoltaic inverter, and the overall price of equipment and components showed a steady downward trend. In terms of auxiliary materials, the overall product price showed a steady growth trend, and the prosperity of photovoltaic glass even attracted the transformation investment of consumer electronics giants. In terms of the price of auxiliary materials, relevant enterprises can not only benefit from the increase of orders, but also benefit from the steady improvement of profit level. The power electronics circuit experienced a certain degree of valuation correction after accumulating a large increase in the early stage, while the performance of the sector is stable, the growth is relatively stable, and it is relatively less affected by the epidemic and inflation, so it gradually has a higher allocation cost performance.
Automotive electronics: the automotive chip industry needs to be upgraded and accelerated
The national standardized guidance is conducive to the more specialization of China’s automobile chip industry and meet the progressive needs of the development of electric intelligent vehicle industry. Chinese automobile manufacturers are less involved in automobile chips, IDM enterprise production capacity is difficult to fully meet the industry demand, the strength of mainland wafer foundry production line is relatively scattered, it is difficult to undertake the order demand of automobile chip foundry on a large scale, and the utilization efficiency of technology, talent, capital and other resources is not high. In Q1, the decline in subsidies for new energy vehicles, the rise in the price of lithium batteries and complete vehicles, and the still significant shortage of chips led to the decline in the output of Shanxi Guoxin Energy Corporation Limited(600617) vehicles in the first quarter, but the ownership of charging piles continued to grow steadily, reflecting that the fundamentals of the development trend of the industry are still uncertain, and the prices of relevant electronic products remained high and upward in the first quarter. In addition, the sudden outbreak of Russian Ukrainian conflict and US Russian sanctions further sounded the alarm for the independent control of China’s semiconductor high-end technology and shipment scale.
Consumer electronics: the whole industrial chain is under pressure
In the first quarter, China’s epidemic spread again, and the originally rebounded consumer electronics demand was restrained again. Last year, the rapidly increased production capacity supply faced the pressure of high inventory, superimposed with the impact of seasonal low demand. The prosperity of consumer electronics in the first quarter was relatively weak, and many products faced different degrees of downward pressure on prices. It is expected that the impact of the epidemic in the second quarter may continue for a certain period of time.
Risk tip: the spread of the epidemic, upward inflation and the impact of electric vehicle price rise exceeded expectations, and scientific and technological innovation was less than expected.
