DeutscheBankMarketsResearchRatingHoldAsiaChinaAutomobiles&ComponentsCompanySAICMotorAlertDate30August2017Results1H17inline;HoldonmildgrowthoutlookReutersBloombergExchangeTicker600104.SS600104CHSHH600104________________________________________________________________________________________________________________DeutscheBankAG/HongKongTheviewsexpressedaboveaccuratelyreflectthepersonalviewsoftheauthorsaboutthesubjectcompaniesandits(their)securities.Theauthorshavenotandwillnotreceiveanycompensationforprovidingaspecificrecommendationorview.DeutscheBankdoesandseekstodobusinesswithcompaniescoveredinitsresearchreports.Asaresult,investorsshouldbeawarethatthefirmmayhaveaconflictofinterestthatcouldaffecttheobjectivityofthisreport.Investorsshouldconsiderthisreportasonlyasinglefactorinmakingtheirinvestmentdecision.PricesarecurrentasoftheendoftheprevioustradingsessionunlessotherwiseindicatedandaresourcedfromlocalexchangesviaReuters,Bloombergandothervendors.FOROTHERIMPORTANTDISCLOSURESPLEASEVISIThttp://gm.db.com/ger/disclosure/Disclosure.eqsr?ricCode=600104.SSMCI(P)083/04/2017.Priceat29Aug2017(CNY)30.20Pricetarget-12mth(CNY)28.3552-weekrange(CNY)32.69-21.13ShanghaiComposite3,363VincentHa,CFAResearchAnalyst(+852)22036247vincent.ha@db.comFeiSun,CFAResearchAnalyst(+852)22036130fei.sun@db.comStockdataMarketcap(CNYm)352,841Marketcap(USDm)53,130Sharesoutstanding(m)11,683.5MajorshareholdersSAICGroup(71.2%)Freefloat(%)17Avgdailyvaluetraded(USDm)141.9Source:DeutscheBankKeydataFYE12/312016A2017E2018ESales(CNYm)748,895851,052915,246NetProfit(CNYm)32,008.635,406.138,148.3DBEPS(CNY)2.753.043.27PER(x)7.79.99.2Yield(net)(%)8.26.06.5Source:DeutscheBankSAICMotor-PVmonthlysalesvolume-40%-20%0%20%40%60%0100,000200,000300,000400,000500,000600,000700,000800,000Jan-11Jul-11Jan-12Jul-12Jan-13Jul-13Jan-14Jul-14Jan-15Jul-15Jan-16Jul-16Jan-17Jul-17(Units)(YoY%)Source:CAAM6%earningsgrowthonrisingSG&AratioandsoftJVscontributionSAICMotorreleasedits1H17resultsaftermarketcloseon29August.Thecompany’s1H17ne...
