\u3000\u3000 Zhejiang Asia-Pacific Mechanical & Electronic Co.Ltd(002284) (002284)
Event overview:
On January 17, 2022, the company announced that Zhejiang Asia-Pacific Mechanical & Electronic Co.Ltd(002284) recently received a fixed-point notice from a large automobile group in China. The company will develop and produce the electronic parking actuator assembly of an SUV model as the customer's parts development and production supplier.
The "demonstration effect" of head autonomy continued to accelerate, and the customers of automotive electronics business continued to make breakthroughs
Automotive electronic products continue to be designated by a large automobile group project in China, and customer expansion continues to make efforts. The company is one of the first enterprises to realize mass production of EPB products in China, with leading technical advantages and product competitiveness in the first echelon in China. EPB products have previously been designated by many core models such as great wall ec01 and chb025a model platform, head new power auto enterprise Zero run auto new a platform, Chang'an new energy epa-1 and other projects. This time, they have been designated by a large enterprise group in China again, and the "demonstration effect" of head independent auto enterprise ( Great Wall Motor Company Limited(601633) ) continues to accelerate, The company's customer expansion of automotive electronic products is expected to accelerate the breakthrough.
The demand for domestic substitutes is accelerated, and the company's automotive electronic product line is complete, which is expected to become the "Bosch" in China's braking field
With the comprehensive rise of independent brands, the acceleration of domestic substitution demand, the company's abundant reserves of automotive electronic product lines and the continuous optimization of customer structure, it is expected to achieve "accompanying" growth with independent vehicle enterprises and become a "Bosch" in China's braking field. The company continues to increase investment in research and development of automotive electronic products. At present, automotive electronic products include ABS / EPB / ESC and IBS, with rich product line reserves. At present, it has carried out close cooperation with core independent brands such as FAW, Dongfeng, great wall, SAIC, Geely and Chang'an and core new force auto enterprises such as Zero run automobile, and its products continue to be recognized by customers. Recently, the company has continued to obtain fixed-point electronic braking products, with many fixed-point projects, comprehensive product structure, rich customer structure, accelerated demand for domestic substitution, and strong certainty of domestic substitution. Under the general trend of the overall rise of independent brands, the company is expected to significantly increase its share in China's automotive electronics market, realize "accompanying" growth with independent vehicle enterprises, and become a "Bosch" in China's braking field.
Investment suggestions:
It is estimated that the company will achieve a revenue of RMB 3.45/4.19/5.47 billion and a net profit attributable to the parent of RMB 0.70/1.22/199 billion from 2021 to 2023. The current market value corresponds to 112 / 64 / 39 times of PE from 2021 to 2023. The company's automotive electronic products continue to be in large quantities, and its performance is expected to return to a historical high level. As a leader in China's braking industry, it is expected to enjoy a valuation premium and maintain the "recommended" rating.
Risk tips:
Raw material price fluctuations lead to low gross profit margin, less than expected new product expansion, exchange rate risk, etc.
