dragonsofthenorthmegaways| Automotive Industry Weekly: Multiple brands launch time-limited subsidies, Tesla's industrial chain is expected to be repaired

Intro: This week's market: commercial passenger cars rose by 6% from May 6 to May 11.Dragonsofthenorthmegaways.64%DragonsofthenorthmegawaysPas...

This week's market: commercial passenger cars rose by 6% from May 6 to May 11.Dragonsofthenorthmegaways.64%DragonsofthenorthmegawaysPassenger cars rose 0.39%, auto parts rose 0.30%, commercial trucks fell 1.73%, and the CSI 300 index rose 1.72%. The A-share automotive sector rose 0.76%, and the auto sector outperformed the CSI 300 index 0.96pcts. Industry level: 1) Multi-brands launched time-limited subsidy policies, and industry price competition intensified: more than 20 brands, such as BYD, Changan Automobile, Chery Automobile, SAIC-Volkswagen, etc., responded to the trade-in policy to launch their own preferential policies. Among them, the maximum subsidy of BYD Ocean Network is 10,000 yuan, and that of Dynasty Network is 8000 yuan. 2) Changan Automobile disclosed the progress of cooperation with Huawei, and other work of the target company has been registered for continuous progress: on January 16, 2024, Huawei completed the registration of the target company, whose business scope mainly includes automobile intelligent driving solution, car intelligent cockpit, smart car digital platform, smart car cloud, ARHUD and intelligent car lights, etc., and the work of this project is being actively promoted. Company level: 1) Xusheng Group: the company issues a prospectus for issuing convertible corporate bonds to unspecified objects. the total amount of funds to be raised by issuing convertible bonds to unspecified objects does not exceed 2.8 billion yuan. it is mainly used for new energy vehicle powertrain project, lightweight automobile key parts project, automobile lightweight structure green manufacturing project and so on. 2) Baolong Technology: the company issued a notice on adjusting the plan of issuing convertible corporate bonds to unspecified objects, pointing out that the funds to be raised by the convertible bonds will not exceed RMB 1.4 billion yuan. It is mainly used in the intelligent manufacturing project of air suspension system, the intelligent manufacturing project of 4.82 million air suspension system components, the intelligent manufacturing project of air spring, the intelligent manufacturing project of automobile damping system accessories and so on. Investment suggestions: 1) Multi-brands introduce time-limited subsidies and trade-in policies to boost sales growth in the industry: recently, the trade-in policy has been introduced. More than 20 brands, including BYD, Changan Automobile, Chery Automobile, SAIC-Volkswagen, etc., have launched subsidy policies with trade-in policies, which are expected to contribute to the sustained growth of sales. 2) with the entry of Tesla FSD into China and the acceleration of new models, the industrial chain is expected to be repaired: Musk's visit to China, Tesla's domestic FSD may be landed in the near future, and Tesla confirms that the entry-level model will be put on sale in 2025, which is expected to significantly increase Tesla's global sales, and the related industrial chain is expected to be repaired at a low level. 3) the automobile sector has a clear half-year dimensional upward momentum: continue to be bullish on the dimensional performance of the automobile plate for more than half a year, and the supporting policies of various localities and automobile companies have been introduced one after another, despite the withdrawal of funds from a small number of game policies. short-term weekly data fluctuations and short-term shocks caused by the high base from May to June last year, but the automobile plate medium-and long-term repair expectations are clear, multiple policy stimulus superimposed economic recovery Tesla in China's industrial chain repair and other multiple positive superposition, we are still optimistic about the automotive sector shock upward in the second quarter, and continue to rise in the third and fourth quarters, the industry leader is expected to achieve excess performance. Related target: whole vehicle: BYD, Changan Automobile, SAIC, Cyrus, BAIC Blue Valley, Dongfeng Group, Xiaopeng Automobile. Spare parts: Fuyao Glass, Baolong Technology, Huguang shares, Songyuan shares, Dolly Technology, Aikodi, Top Group, Silver Wheel shares, Xinquan shares. Risk tips: passenger car sales, new energy vehicle sales, policy stimulus effect is not as expected. [disclaimer] this article only represents the views of a third party and does not represent the position of Hexun. Investors operate accordingly, at their own risk.

[disclaimer] this article only represents the views of a third party and does not represent the position of Hexun. Investors operate accordingly, at their own risk.

dragonsofthenorthmegaways| Automotive Industry Weekly: Multiple brands launch time-limited subsidies, Tesla's industrial chain is expected to be repaired

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