(Source: Panoramic Vision)
Economic Reporter Online Reporter Qian Qunfang The sale of three major independent cars in 2018 did not reach its annual sales targets, but the capital market response was different. In the past two days, Geely, Great Wall and BYD have posted sales figures for 2018. The sale of three automotive companies has remained relatively stable, but it has not yet been completed. Each set the sales target. It should be noted that since the end of January 8, the prices of the shares of three automobile companies have changed and changed, and the valuation of the capital market is also different.
Geely Automobile has maintained its year-on-year growth in the winter car market. According to sales data published by Geely Automobile, sales of the company in December 2018 were 93,333 units, which is 39% less than in the same period last year, while the total sales volume reached 1,500,800 units, which is approximately 20.3 % more than a year earlier. However, it should be noted that the yearly sales of Geely Automobile increased by 63% year on year in 2017, and in 2018 Geely Automobile failed to meet its annual sales target of EUR 1.58 million. Based on the industry's high industrial uncertainty in 2019, the company set an annual sales target of 1.51 million units, which is essentially the same as in the same period last year, and Geely once said that it will reach 2 million annual production targets by 2020 and sales.
On the day after the announcement of the sale, Geely Automobile (00175.HK) shares fell by 7.6% on the day of opening, while on January 8, Geely Automobile closed at $ 10.22 in Hong Kong, down 11.28%. It should be noted that Geely Automobile has declined by 25.94% since the beginning of 2019 over the past five trading days, the first among more than 2000 Hong Kong shares. After publishing relevant notices, many large banks and brokers lowered their target prices and ratings, for example, Moto reduced the Geely target by 29% to 10 yuan, and the estimate is neutral, but they say that Geely has reduced its annual sales target and surprised the market. Keep Negative Growth.
In addition, Great Wall Motor, which sold more than one million units for three consecutive years, also noticed a slight drop in stock prices after releasing sales. According to sales figures published by Great Wall Motor, the company sold 133,794 vehicles in December 2018, an increase of 6.54% over the same period last year. In the general state of the cold market, the market performance of the mild fall of the Great Wall Motor is still stable, but this is still far from the 100,000 year-old target of selling the Great Wall Motor in 2018.
Economic Observer Online warned that on January 8, the Great Wall Motor (601633.SH) closed at 5.68 yuan on the A-stock market, down 1.05% and reached a 1.43% increase in five trading days. In addition, the Great Wall Motor (02333.HK) closed at 2.21 Hong Kong dollars a day, which is 2.27% less and fell by 4,01% in five trading days. Ping An Securities Co., Ltd. analyzed Great Wall Motor's investment risks, which included in particular three aspects: firstly, the passenger car market was lower than expected, secondly, the risk of SUV competition caused by the joint venture brand had deteriorated. They do not fulfill the risk.
In contrast, BYD's exceptional performance in the new energy car sector has brought confidence to the capital market, and BYD is the only car company whose three companies have raised their share prices on 8 January. Dahe Capital reported that in December 2018 BYD sales increased by 33% compared to the previous year to 69,600 units, while annual sales rose 23% to 520,700 units year-on-year, which is in line with the Bank's expectations and credit rating Buy.
Although BYD's sales of 520,700 units still have a certain distance from the established sales target of 600,000 units at the beginning of last year, BYD has attracted the attention of new energy vehicles. In 2018, sales of new vehicles for BYD vehicles were 247,800 units, and the sales target of 200,000 units was set at the beginning of 2018. The total sales volume of vehicles with fuel amounted to 227,900 units, which is still far from the sales target of 400,000 units in beginning of 2018. The volume of sales of new BYD vehicles has increased from 30% in 2017 to 50%.
Citigroup issued a report saying that the growth of BYD sales in December 2018 and the whole year and the volume of sales of new energy vehicles is better than the bank's expectations, which has a positive impact on the investment value of the purchase and warns of smaller cities on land. The downturn in car use, car sharing and rental demand, as well as falling commodity prices, or further improving the long-term trend of BYD's profitability.
On the Hong Kong stock market, BYD (01211.HK) finished at 48.60 HK on January 8, which is 3.18% more than in five trading days. On the A-share market, BYD (002594.SZ) closed at 52.88 yuan, which is 2.9% more, while in five trading days it increased by 3.69%.
In the past 2018, the overall performance of the Chinese automotive market was weak. According to data released by the China Automobile Manufacturers Association, the Chinese market sold a total of 25.42 million vehicles from January to November 2018, which is 1.65 percent less than in the same period last year, while the negative growth for the whole year is already and the pressure on car companies has increased. Expected performance has strongly influenced the movement of shares in automobile companies' shares.