\u3000\u3000 Suzhou Sonavox Electronics Co.Ltd(688533) (688533)
China’s front mounted market is a leading vehicle speaker supplier with global supporting capacity
Suzhou Sonavox Electronics Co.Ltd(688533) is a leading vehicle speaker supplier in China’s front loading market. In 2019, China’s market share was close to 20%, far ahead of its competitors. The company has the strength of synchronous development technology + global supply supporting capacity, and maintains long-term cooperative relations with Volkswagen, Ford, general motors and other auto enterprises. The development of new energy vehicles brings customers development opportunities for the company. With the release of speaker production capacity, the market share of speakers in the global market is expected to be further improved. At the same time, new businesses such as vehicle power amplifier and AVAs are expected to contribute increment. We estimate that the company’s revenue from 2021 to 2023 will be 1.37/18.3/2.58 billion yuan respectively, the net profit attributable to the parent company will be 76 / 132 / 194 million yuan, the EPS will be 0.48/0.83/1.21 yuan / share, and the corresponding PE of the current stock price will be 128.3/73.9/50.5 times respectively. The company is a potential stock of automobile acoustic track. The vehicle power amplifier business gives the company high growth, first coverage and “buy” rating.
High end foreign brands and new powerful car enterprises lead the upgrading of the car audio industry
Visual + auditory + tactile multi-dimensional automobile consumption upgrading is in progress, and automobile audio is expected to become the commanding point of the next round of differentiated competition between automobile enterprises in the process of consumption upgrading. The increase in the number of loudspeakers, independent power amplifiers and subwoofers have become the audio upgrading trend. The car audio upgrading war has quietly opened, and high-end foreign capital and new powerful car enterprises lead the industry upgrading. The supporting value of single car acoustic products has been greatly improved. Suppliers who seize the opportunity of audio system consumption upgrading and quickly develop vehicle power amplifier, AVAs, subwoofer and other businesses are expected to achieve a leap in performance.
Give play to the synergy of speaker business + actively explore new powerful customers, and new products are expected to be sold in large quantities quickly
The company has been deeply engaged in the field of automotive acoustics for decades and has maintained long-term cooperation with Ford, Volkswagen and other customers, so as to give full play to the synergy of speaker business and expand the categories of products supplied within the original customer system. At the same time, the company is also actively developing new powerful customers. At present, the company has obtained the fixed-point power amplifier / AVAs products of Weilai, ideal, Weima, Huawei Jinkang and other brands. In the future, the volume of relevant projects is expected to drive the rapid growth of the company’s on-board power amplifier and AVAs business. Considering that the company has received multiple orders from new power auto enterprises, it may fully benefit from the general trend of car audio system upgrading and electrification in the future, and its performance is expected to reach a higher level.
Risk tip: the demand for automobiles at home and abroad is less than expected, the penetration rate of new energy vehicles is less than expected, the development of new product customers is less than expected, and the exchange rate fluctuates sharply.
