CMS·2025-05-11 08:33Investment Rating - The report maintains a "Recommended" rating for the automotive industry, indicating a positive outlook for the sector's fundamentals and expectations for the industry index to outperform the benchmark index [4][27]. Core Insights - The automotive industry experienced an overall increase of 1.8% from May 4 to May 10, with significant movements in various segments, including a notable rise in motorcycle and auto parts sectors [2][10]. - Key developments include Geely's plan to acquire all issued shares of Zeekr, aiming for a complete merger, and Chery's delivery of the first batch of 220 humanoid robots [1][20][21]. - The report highlights the performance of individual stocks, with notable increases for companies like Chengfei Integration (+34.1%) and Wanxiang Qianchao (+29.8%) [12]. Market Performance Overview - The automotive sector's performance was positive, with the CS automotive index rising by 1.8%, while the broader market indices also showed gains, with the Shanghai A index up by 1.9% and the Shenzhen A index up by 2.9% [2][8]. - Among the automotive sub-sectors, motorcycles and auto parts saw the highest weekly increases of 2.7% and 2.4%, respectively [10]. Individual Stock Performance - The report notes that most covered automotive stocks saw increases, with Zongshen Power (+13.3%) and Qin'an Co. (+6.5%) among the top performers [3][14]. - Conversely, stocks like Longsheng Technology (-5.4%) and Sulian Co. (-3.6%) experienced declines [14]. Industry Dynamics - The report discusses the impact of the May Day holiday on new energy vehicle sales, with a significant drop in sales for many brands, while Li Auto managed to increase its sales by 33% [18]. - The report also mentions the successful launch of 119 new charging stations by Li Auto, bringing the total to over 2,200 stations nationwide [22]. Key Developments - Geely's acquisition of Zeekr is expected to enhance resource integration and operational efficiency [21]. - Chery's humanoid robot delivery and the establishment of a joint venture for sensor technology indicate a strategic push into robotics [20][24]. - The report highlights the introduction of new models, such as BYD's Hai Si 07DM and Geely's Galaxy Star, which are set to launch soon [17].