AutoBeta(AutoBeta.net)07/01 Report--

As we all know, SAIC is the largest automobile group in China, with brands such as SAIC-Volkswagen, SAIC-GM, SAIC-GM Wuling, SAIC Roewe, SAIC Mingjue, SAIC R, SAIC Chase, SAIC Iveco and other brands, covering passenger and commercial vehicle markets. Data show that SAIC sold 5600482 vehicles in 2020 and 1968664 from January to May in 2021. It can be said that SAIC is the largest auto company in the domestic market, and it is also among the top 10 in the global auto market.

However, the share price of such a company has been depressed. As of June 30, SAIC fell 1.96% to 21.56 yuan per share, with a total market capitalization of 252.36 billion yuan. According to statistics, the share price of SAIC has risen by only 4.32% in 2020 and has fallen by 8.22% since 2021. It can be seen that, as the largest car company in China, its stock price performance is indeed very negative, which also caused the dissatisfaction of the group shareholders.

At the shareholders' meeting of SAIC held on June 30, a shareholder asked that since last year, new energy vehicles have become a super tuyere. The share prices of BYD and Great Wall have risen 5 or 6 times, Jianghuai Motor has increased more than 10 times, and Chang'an has also increased more than 3 times. but SAIC, which leads in sales, has not been interested.

That's true! In 2020, including BYD, Changan Automobile, Jianghuai Automobile, Great Wall Motor and other share prices rose sharply, especially the new power of car-building Lulai Automobile, Xiaopeng Automobile, ideal Automobile, the market capitalization once exceeded that of many traditional automobile companies. As a mainstream automobile group in China, SAIC has determined the development strategy of the "New four modernizations" as early as three to five years before other automobile companies, and has invested heavily in layout. It should have developed rapidly in electrification and intelligence, and occupied the first opportunity for development. However, at present, it is not as good as other automobile companies in the field of new energy vehicles, or even less than the new car-building forces that have just been born. According to the latest trading day, BYD rose 21.66%, Changan Motor 19.51%, BAIC Langu 49.71%, Great Wall Motor 12.11%, GAC GROUP-2.19%, and SAIC-8.11%. Other auto companies performed better than SAIC.

This is also where shareholders are dissatisfied. It is not difficult to see from shareholders' statements that they are dissatisfied with the fact that new energy vehicles became a tuyere last year, but SAIC's share price failed to soar under the tuyere.

Chen Hong, chairman of SAIC Group, also responded positively to shareholders' questions, saying that of course we are aware of this situation, but it is not just SAIC Group, including Volkswagen, Mercedes-Benz, BMW and so on, there is a certain gap compared with the share prices of the new car-building forces. With the increase in the proportion of the new track, I believe SAIC's share price will come, in the eyes of consumers, we are still the traditional carmaker, but we are already changing.

What Chen Hong said is true, but instead of explaining it to SAIC itself, he shifted the problem to global auto companies. In terms of market capitalization, international car companies, including Volkswagen, Mercedes-Benz and BMW, are indeed inferior to the new power of car-building, but from the domestic automobile market, the market capitalization of traditional car companies, including BYD, Great Wall and Chang'an, is growing rapidly. however, the share price of SAIC, as the largest car company in China, has not increased significantly, which requires SAIC to reflect on it.

Of course, the rapid growth of the capital market does not represent all the problems. Take Zhongtai Automobile as an example, although its share price has quadrupled in half a year, its automobile business has stagnated, the company has been heavily in debt, and it is in the stage of bankruptcy reorganization, the parent company has been liquidated, and many of its subsidiaries have also gone bankrupt. Under such a "soaring" share price growth, without the support of fundamentals, it will end up with nothing but chicken feathers. Therefore, although the performance of the capital market is not up to expectations, the most important thing is to focus on technology and products, rather than focusing on the capital market hype.

Welcome to subscribe to the WeChat public account "Automotive Industry Focus" to get the first-hand insider information on the automotive industry and talk about things in the automotive circle. Welcome to break the news! WeChat ID autoWechat