Key investment points: Recently, we investigated Weidi Co., Ltd. and exchanged views with the company's management on current business conditions and future development plans. Ping An's view: The CAN bus configuration ratio for new energy buses is significantly higher than that of traditional buses: the application of automobile CAN buses can greatly simplify the complexity of vehicle wiring harnesses and effectively integrate automobile electronic control systems. Since the degree of electrification of the power system of new energy buses is much higher than that of traditional buses, it is necessary to use CAN bus technology to achieve vehicle control. Currently, the CAN bus configuration ratio of new energy buses is close to 100%, which is significantly higher than that of traditional buses. With IPO fundraising to expand production capacity, CAN bus production and sales are expected to maintain a high growth rate: with the rapid increase in the penetration rate of new energy buses and the richer configuration of traditional buses, the market demand for CAN buses has always been strong. Due to the tight production capacity of the company, the capacity utilization rate exceeded 120% in 2014, and the company's revenue growth rate was limited to a certain extent. The company's IPO raised production capacity of 42,000 units, adding 1.35 times the current production capacity, providing a guarantee for the sales volume of CAN bus products. The CAN bus is the hub for data exchange throughout the vehicle. An automobile CAN bus is equivalent to a highway with big vehicle data, and almost all vehicle and component data will be communicated on the CAN bus. Generally speaking, CAN buses can be used for high-speed CAN and low-speed CAN, respectively, for communication between power systems, safety system controllers, and communication between vehicle body control systems and instruments, respectively. The two buses are connected through a gateway. Profit forecast and investment advice: Renewable energy is a trend in the bus industry, and CAN buses will continue to be in strong demand. With the gradual release of fund-raising production capacity, the company's main business is expected to maintain a good development trend. Considering the importance and specificity of CAN buses in automotive electronic control systems, there is plenty of room for future development of the company's business. The 2015/2016/2017 EPS is estimated to be 0.79 yuan/0.89 yuan/0.95 yuan respectively, giving the first coverage a “recommended” rating. Risk warning: 1) The promotion of new energy buses fell short of expectations; 2) Market competition intensified.