Great Wall Motor (601633): Sales go against the trend, leading advantages are obvious

Great Wall Motor (601633): Sales go against the trend, leading advantages are obvious
Investment Highlights Event: On July 9, the company announced June car sales 6.330,000 vehicles, an increase of 1 every year.79%; yield 6.290,000 vehicles, an increase of 1 each year.15%.1?In June, the company gradually realized automobile sales of 49.350,000 vehicles, an increase of 4 per year.67%; stepwise production 49.710,000 vehicles, an annual increase of 5.53%.According to the data released by the China Federation of Passenger Consortiums, the domestic production of narrow passenger cars in the first six months was -16 each time.3%, comprehensive sales for ten years -9.3%. By brand, 1?In June, the Haval brand had a cumulative sales volume of 35.290,000 vehicles, 佛山桑拿网 an annual increase of 8.47%; WEY brand cumulative sales 4.690,000 vehicles, a decrease of 39 every year.62%; Great Wall brand cumulative sales 6.680,000 vehicles, down 2 each year.61%; Euler brand cumulative sales 2.700,000 vehicles. Haval sales have steadily increased, and SUV leader Hengqiang has grown steadily.In June, Haval brand SUV sales reached 4.530,000 vehicles, an annual increase of 7.44%; sales this year gradually 35.290,000 vehicles, an annual increase of 8.47%.In the H series, the “National God Car” H6 sold 2.710 thousand vehicles, an annual increase of 2.94%, the first in SUV market sales for 73 months.Among the F and M series, the F7 has shown explosive potential since it was launched in November last year. Monthly sales continued to climb, and sales in June were 1.It has sold over 10,000 vehicles for 6 consecutive months; the M6 has a cost-effective advantage, with cumulative sales of 4 in the first half of the year.18 vehicles, an annual increase of 126%.In the second half of the year, the F series will launch a new car, the F7x, and the Haval classic H6 will also be launched in the mid-term.With the joint efforts of new and old models, the initial sales of the Haval brand are expected to maintain steady growth. Euler’s sales continued to climb, and the layout of new energy efficiency began to show.The company currently sells three new energy models, namely Euler iQ, Euler R1 and WEY P8.With high-value models and value-added services such as “7-day worry-free return” and “value-for-purchase”, the sales of the two models of the Euler brand in the first half of the year totaled 2.70,000 vehicles, successfully entered the top ten sales of new energy passenger car brands in China.In the second half of the year, the company will launch new energy new models such as the Euler R2 and WEY P8 GT. Through the gradual improvement of the layout, the company’s new energy vehicle sales are expected to maintain rapid growth. The Russian factory was completed and put into operation, and the strategy was gradually strengthened.The portable car market has gradually changed from an incremental market to a stock market, and the company has accelerated the pace of overseas market expansion.On June 5, the Tula factory in Russia was completed and put into operation, announcing that the company’s strategic strategy has entered a new stage.In June, the company exported 6711 cars, an increase of 83.31%; gradually export in the first half of the year 3.30,000 vehicles, an annual increase of 29.39%.2019 is the year of the company’s strategic strategy. The export volume is expected to continue to grow rapidly in the second half of the year, and the release of new overseas plant capacity will also contribute to new performance increases. Investment suggestion: In the general environment of the downturn in the automotive industry in the first half of the year, the company’s production and sales went against the trend, the market share continued to increase, and the leading position was prominent.In our view, the automobile industry is expected to gradually pick up in the second half of the year under the stimulation of policies such as promotion of automobile consumption and tax and fee reductions; by taking advantage of the leading advantages, the company’s sales volume is expected to maintain steady growth, and at the same time, profit margins may improve significantly.Based on the production and sales in the first half of this year, we lowered the company’s profit forecast for 2019 to 2021 to the previous earnings of 0.62 yuan, 0.71 yuan and 0.79 yuan, return on net assets were 10.2%, 11.0% and 11.6%.Maintain “Buy-B” investment rating. Risk warning: policies such as promotion of automobile consumption have fallen short of expectations; the company’s new model promotion has fallen short of expectations.