Key investment points
Overall: last week (20220117-20220123), CSI 300 rose or fell by + 1.11%, gem rose or fell by – 2.72%, and the automotive industry rose or fell by – 3.17%, ranking 24th in 30 industries at the first level of CITIC.
Industry segments: passenger cars ranked first with a weekly increase or decrease of – 1.30%, and special purpose vehicles ranked last with a weekly increase or decrease of – 5.31%.
Concept sector: smart parking and Geely concept ranked first with weekly increases and decreases of + 2.29% and – 1.60% respectively, and ethanol gasoline and fuel cell industries ranked last with weekly increases and decreases of – 5.23% and – 4.88% respectively.
Individual stocks: 23 stocks in the automotive industry (CITIC) achieved positive returns last week (20220117-20220123). Among them, Kuangda Technology Group Co.Ltd(002516) ranked first with an increase or decrease of + 14.47%, and Ningbo Hengshuai Co.Ltd(300969) ranked last with an increase or decrease of – 26.47%.
Valuation: as of January 21, 2022, the PE (TTM) of the automotive industry (CITIC class I) is 42.13 and that of new energy vehicles is 62.99.
Industry highlights
1) Contemporary Amperex Technology Co.Limited(300750) 1 billion to establish a new energy resources company;
2) Contemporary Amperex Technology Co.Limited(300750) release the power exchange service brand evogo;
3) the subscription amount of LG new energy’s public offering exceeded 600 billion yuan, the highest in South Korea;
4) vigorously promote new energy vehicles and gradually eliminate the restrictions on the purchase of new energy vehicles.
Investment advice
In terms of industry, according to the data of China Automobile Association, in 2021, the production and sales of 26.082 million vehicles and 26.275 million vehicles increased by 3.4% and 3.8% year-on-year. The export of automobiles was 2.015 million, with a year-on-year increase of 100%. Among them, the export of new energy automobiles was 310000, with a year-on-year increase of 300%. In the market, the rise in raw material prices superimposed the end of the annual cycle of new energy at the end of the year, and the recent decline in the new energy sector with high valuation was more obvious. In the near future, it is suggested to pay attention to the recovery of passenger vehicle enterprises greatly affected by chips in the early stage and core parts enterprises, such as: Guangzhou Automobile Group Co.Ltd(601238) , Saic Motor Corporation Limited(600104) , Huayu Automotive Systems Company Limited(600741) , Weichai Power Co.Ltd(000338) , Anhui Zhongding Sealing Parts Co.Ltd(000887) , Xiamen Faratronic Co.Ltd(600563) , Zhejiang Sanhua Intelligent Controls Co.Ltd(002050) , Wuxi Lead Intelligent Equipment Co.Ltd(300450) , Avic Jonhon Optronic Technology Co.Ltd(002179) .
Risk tips
Economic growth is lower than expected; Car sales are less than expected; Covid-19 pneumonia continued to spread.
