The demand for auto parts is increasing rapidly, and the independent brand is welcoming the broad ma

Auto industry "Golden Decade", independent brand or renew smartphone brilliance

The rapid development of China's economy and the rapid improvement of people's living standards have directly contributed to the "golden Decade" of China's auto industry. Cars also from the original luxury, into almost every household necessities.

The development of the independent brand is by leaps and bounds, the car makes more and more good, the sales are also more and more high, already can occupy half of the Chinese automobile market share, especially the SUV market, is the own brand world. With the increase in sales, independent brands have gradually dumped the "low-end" hats, gradually to the middle and high-end market penetration. The auspicious collar gram and the Great Wall Wei faction are the outstanding representatives.

In addition to their own feelings, the data can fully explain the problem. According to the latest sales data in October 2017, only the independent brand to achieve year-on-year, chain double growth. The absolute value is far ahead of the joint venture brand and imported models, compared to the same year, the chain in a significant decline in the Peugeot, Citroen and other brands as the representative of the French car and to Cadillac, JEEP, Ford and other brands as the representative of the United States, independent brand sales in the growth rate has maintained a steady upward trend. At the same time, China's auto market is no longer the dominant advantage of the developed countries such as Germany, Japan and the United States, and the economic growth brought by the strong people's wealth is pushing made into the world stage.

Parts or components enterprises will benefit for a long time

Thanks to supply chain management, auto parts enterprises and vehicle enterprises have established long-term strategic cooperative relations, and its technical and quality level in the development and production of the vehicle enterprise interaction with the process of continuous improvement. FAW, Dongfeng, SAIC, Changan and other large independent brands of the rapid development of vehicle enterprises, will further promote domestic independent auto parts enterprises high-speed growth.

In addition, in line with the quality of domestic car upgrading, domestic auto parts enterprises, the core technology is gradually upgrading, competitiveness has been strengthened.

Data show that China's car ownership has increased year by decade, more than 172 million vehicles in 2015 years, the country has 40 cities in the number of cars in excess of millions, the United States this figure of 265 million vehicles. In the next 5 years, China is expected to sell at least 25 million vehicles a year, and by 2020 China will have about 300 million vehicles. With the increase of car ownership, the development of automobile aftermarket market in our country is worth looking forward to, which will also bring about large market demand of auto parts.

At present, China is in the alternating phase of traditional fuel vehicles and new energy vehicles, most of them face the traditional fuel car, on the other hand, accelerate the research and development on the new energy vehicle manufacturing, and seek partners. Today, we can see that there are more and more different kinds of fuel-driven cars on the road, the era of the march not only does not affect the number of cars in each city, but increase the market total, the car market in the future will flourish and reach a new height. However, whether it is a fuel car or a non-fuel vehicle, all this is inseparable from the supply of auto parts.

For auto Parts market, the development prospect of China's smartphone industry can be likened to the rise of the process. Millet, Huawei, OPPO, Vivo and other domestic brands with inexpensive products to capture market share, gradually to the middle and high-end areas of penetration, but also led to the rapid development of domestic mobile phone supply chain.

According to the same logic, domestic auto parts market is expected to usher in a broad development prospects.

Auto industry chain Bull Stock Frequency

In fact, the upgrading of domestic auto industry brought about by the enterprise development dividend, has been gradually reflected in the share price of some companies. Geely Auto became the China and China Evergrande and other internal housing shares of Hong Kong leader, directly led to the bull of Hong Kong equities this year. Geely's share price has risen 2.7 times-fold this year alone, and has risen by more than 11 times-fold since January 1, 2016. A-shares SAIC group and Weichai Power and other vehicles and accessories enterprises stock prices have also strengthened.

As Geely, SAIC and Guangzhou Automobile and other domestic enterprises of the important suppliers, Zhejiang Xian Tong's performance also benefited from this.

Underestimate the value of industry giants, market share continues to grow

Under the trend of the rising of the independent brand car, the import substitution of the sealing strip industry will accelerate. According to the average of 45 meters per vehicle to calculate, 2016 domestic seal market space of about 18 billion yuan. Industry in the domestic market share of 32%, but some of the outstanding enterprises in recent years has reached even more than foreign-funded companies, and the price is lower than foreign products.

With the promotion of customer recognition, the relevant domestic enterprises will rely on product cost-effective, rapid response capacity and flexible production capacity to quickly achieve import substitution.

Zhejiang Xian Tong In this area advantages obvious, market share will gradually improve, the performance ushered in a rapid growth period. The company is a small number of domestic production of European-style guide trough enterprises, the product pass rate of up to 95%, far above the industry average level. After years of deep plowing, the company has been recognized by most car companies, and its growth model has also changed. Prior to the main binding explosion models, the future is expected to be a leading company, in the background of the rise of the independent brand car constantly improve market share.

From a longer-term perspective, the company will certainly expand the field of joint ventures and foreign-funded vehicles. At present, has successfully developed SAIC-GM, Toyota, Honda, Nissan, Mercedes-Benz and other joint venture foreign customers, the company's internal and external carrot, will be in the business and technology to bring new breakthroughs, long-term view of clear path and unlimited prospects.

Zhejiang Xian Tong Main automotive seals, metal 锟 and other parts of the press, product technology in the industry occupies a leading position, supporting the Independent brand star models, high certainty of performance growth. The company is a leading supplier of automotive seals, import substitution gradually strengthened, automotive seal matching Geely Hao Department, wuling Macro-light, Guangzhou auto GS, SAIC-Rong series, such as a variety of explosion models, high performance growth with certainty.

In recent years, the company's high margin products European-style window guide trough continuous volume, revenue accounted for promotion, the company's gross margin is expected to stabilize in the rise. The company's European car window guide Trough product gross profit margin as high as 60%. European guide trough 2015 revenue accounted for 11%, 2016 accounted for 20%, 2017 is expected to continue to rise to about 30%. 2017 first quarter gross profit margin of 48%, higher than 2016 annual gross margin level of 46%.

Capacity expansion of twice times, supporting the continued high growth in performance. Companies in 2016 and 2017, the new 23 million-meter and 60 million-meter rubber car seals capacity, and take into account the new product price higher, capacity enough to support revenue and performance volume growth of more than twice times, is expected to 2020 revenue scale of 2 billion yuan.

The company made 90% of the production of molds, can quickly follow the development of the pace of the host plant, but also to reduce the cost of purchasing molds, but also improve the product yield. Efficient simultaneous development and better yield than average 5~10% can help companies to further open market space for downstream customers. European-style window guide trough from the original 300~500 yuan to 500~700 yuan, superimposed the concept of price increase, market space 50%, gross profit margin with the change of the new technology significantly improved.

Merchants, Haitong, founder, Shen Wanhongyuan and other major brokers have given praise. According to the average forecast of the major brokerages, the company's net profit of 2017, 2018 and 2019 were 231 million, 328 million and 447 million respectively, the growth rate was 54.11%, 41.69%, 36.38% respectively, the corresponding dynamic P/E ratios were 21.53 times times, 15.21 times times, 11.16 times times.

Joaquin Securities November Research report that: we forecast the company from 2017 to 2019 earnings per share of 0.93 yuan, 1.33 yuan and 1.83 yuan respectively. The return on net assets continued to rise, giving a higher investment rating.

Small and medium market stocks may rise again, the future market can be

Zhejiang Xian Tong Since the IPO earlier this year, the stock price climbed sharply, twice times more. But in the "28" or even "19" market repression, the company's share price with small and medium market shares in the late fall, coupled with the gradual squeeze of new stock bubbles, the risk of a large release, the valuation regression reasonable even underestimate the range.

Superimposed at the end of the fund to the White Horse and blue chip recently killed, the game direction changes in the game, next year is expected to usher in the "28 switch" market, small and medium-sized market share may rise again.

Company performance, Zhejiang Xian Tong 2016 annual income growth of 38.21%, net profit growth of 70.98%, and then go back we can see, Zhejiang cents in the performance of three consecutive years of steady rise, repeatedly hit new highs. Zhejiang Xian Tong The latest 20,173 quarterly earnings data show: three quarterly operating income of 496 million yuan, growth of 32.98% per cent, net profit of 122 million yuan, an increase of 52.39%. However, good performance did not immediately bring good market effect to Zhejiang Xian Tong, the stock price of Zhejiang cents even appeared contrary to the trend.

Company performance is linked to the share price, performance is the support of stock prices, performance, as long as the performance is good enough, the stock price will return to its height sooner or later.

By the new energy vehicles brought by the tuyere, coupled with the accelerated landing of relevant policies, the auto industry will again usher in further development opportunities, at the same time, the entire automotive industry in the small and medium-sized enterprises will inevitably flourish, to make up for this market demand gap. Zhejiang Xian Tong has a high degree of customer recognition, or can stand out in the market fight.




除了自身感受外,数据也可以充分说明问题。根据2017年10月的最新销售数据,只有自主品牌实现同比、环比双增长。绝对值更是遥遥领先合资品牌和进口车型,相比于同比、环比均在大幅下降的以标致、雪铁龙等品牌为代表的法系汽车和以凯迪拉克、JEEP、福特等品牌为代表的美系汽车,自主品牌的销量在增速上仍保持着平稳上升趋势。与此同时,中国汽车市场不再是德、日、美等发达国家占据主导优势,国强民富带来的经济增长正在把made in china推上世界舞台。




























Domestic Tel (国内电话) : 0575-86118688 / 13588562620  
Foreign Tel(国外电话):  86-575-86276288

ABROAD SALES(国外销售): 0086-575-86276288 Mail :

ADD ( 地址 ) : 2 building, No. 1th Ling Chi Road, Qixing Street, Shaoxing Xinchang County, Zhejiang, China   

website qrcode