Market value of 8 dealers evaporated 10.9 billion yuan in September

category:Finance
 Market value of 8 dealers evaporated 10.9 billion yuan in September


Strong performance of Meidong automobile

Among the 10 listed auto dealer groups, the most outstanding one is Meidong automobile, which is one of the only two dealer groups whose market value rose in September. In fact, not only in September, but also in the first three quarters of this year.

Mideasts share price is still up. As of October 16, the closing price of Mideast was HK $30.85/share, with a total market value of HK $38.39 billion. Meidong automobiles strong performance in the capital market is considered to be related to its layout in low and medium-sized cities and its grasp of the growth dividend of luxury car penetration. According to relevant data released by Meidong automobile, the proportion of luxury brand stores in the third to fifth tier cities has jumped to 64% in 2019.

According to Dongxing securities research paper, Meidong automobile has the advantages of first mover and monopoly in the layout of low-level cities and the strategy of single store in single city, and the high degree of brand concentration makes its growth certainty stronger.

In addition, the growing luxury car market has also added a fire to Meidong automobile, which mainly sells luxury cars. According to the data of CAAC, the domestic luxury car retail sales in September increased by about 33% year-on-year, 5% month on month, and the market share was about 15%, reaching a historical high.

However, from the perspective of the whole three quarters, the performance of Yongda Automobile is still commendable, which is one of the few auto dealer groups with market value growth. On the first day of opening in 2020, Yongda motor closed at HK $7.2/share. By the end of September 30, the closing price of Yongda motor had risen to HK $9.17/share, and its total market value had risen from HK $13.246 billion on January 2 to HK $18.066 billion on September 30, up about 36%.

It is worth noting that Zhongsheng holding, which ranks first in the top ten listed auto dealer groups in terms of total market value, has a more and more CP sense with the rising status of Yongda Automobile. The performance pace in September and the first three quarters is almost the same.

In September, Zhongsheng shares fell about 2% and the market value evaporated by HK $2.2 billion. However, in the first three quarters, the market value of Zhongsheng holdings increased by HK $37.7 billion, or 52%.

Rely on luxury cars to drive performance

Guanghui automobile (600297) ranks third in market value. Although it is in the forefront, its market value has shrunk sharply recently. On the first day of opening in 2020, the market value of Guanghui automobile was 27.499 billion yuan. By September 1, its market value had risen to 31.144 billion yuan. However, since then, its market value has declined to 26.196 billion yuan on September 30. As of October 16, the market value of Guanghui automobile was 27.494 billion yuan. In a months time, the market value of Guanghui automobile returned to the state of the beginning of the year.

According to the statistics of some institutions on October 12, the capital outflow from the mainland stock exchange of Guanghui Automobile Co., Ltd. in the past five days, the capital outflow from the mainland stock exchange was 110100 yuan only, and the accumulated net sales of funds from northbound capital in the past five days was 872400 yuan, indicating that foreign capital has been continuously flowing out in the near future. In this regard, a number of investors inquired about the reasons for the sharp drop in the companys share price and market value. But Guanghui did not specify.

Recently, the market value of Rundong automobile and Zhengtong automobile, which were in debt crisis recently, shrank by nearly 70% in the first three quarters. In addition, the market value of harmony automobile and * ST giant in the first three quarters also shrank by more than 20%.

At present, Guanghui automobile has stepped up the transformation of stores, transforming the less profitable brand into the more profitable luxury car brand and Japanese brand. According to the data, in 2019, Guanghuis luxury car stores account for 29%. This figure is obviously lower than 58% of the number of luxury car brand stores held by Zhongsheng. In addition to increasing the number of luxury car brand stores, the automotive aftermarket business has also become the profit source of the head auto dealer group. For example, Zhongsheng holdings profit sources in 2019 mainly come from new car sales, after-sales service and financial insurance commission, which are 2.9 billion yuan, 8.6 billion yuan and 2.9 billion yuan respectively. Ping An Securities Research Report believes that although domestic auto dealers have the opportunity to further expand the after-sales stock market, as well as the large trading volume and average transaction price space of second-hand cars, they are also facing the challenges brought by the emergence of vehicle manufacturers and third-party after-sales, as well as the direct sales mode of manufacturers. Source: Daily Economic News Author: Duan siyao, editor in charge: Wang Xiaowu_ NF

At present, Guanghui automobile has stepped up the transformation of stores, transforming the less profitable brand into the more profitable luxury car brand and Japanese brand. According to the data, in 2019, Guanghuis luxury car stores account for 29%. This figure is obviously lower than 58% of the number of luxury car brand stores held by Zhongsheng.

In addition to increasing the number of luxury car brand stores, the automotive aftermarket business has also become the profit source of the head auto dealer group. For example, Zhongsheng holdings profit sources in 2019 mainly come from new car sales, after-sales service and financial insurance commission, which are 2.9 billion yuan, 8.6 billion yuan and 2.9 billion yuan respectively.