Incidents:
Ideal Auto held a press conference for the new Ideal L series model. The Ideal L6 was officially released. The model was equipped with two Pro and Max versions, priced at 249,800 yuan and 279,800 yuan respectively.
L series product strength is leading, and the product matrix continues to improve
Ideal L6 was launched, and the L series product matrix was gradually improved. Ideal L6 was officially released. The model is equipped with Pro and Max versions, priced at 249,800 yuan and 279,800 yuan respectively. The ideal L6 size is 4925*1960*1735mm, and the wheelbase is 2920mm. The second-row seat has a head space of 968mm, a maximum leg space of 1135mm, and a cushion length of 534mm. The air quality monitoring exceeds that of luxury brands. It is equipped with sensors such as AQS, PM2.5, and carbon dioxide as standard, and the overall air quality in the car is improved. The audio configuration is leading. The Max version is equipped with platinum speakers, and the Pro version is equipped with 19 speakers. 1.26 square meter integrated panoramic canopy, 99.8% UV insulation rate, and electric sunshade as standard. It ideally forms Mega's MPV, L9/L8 six-seater SUV, and L7/L6 five-seater SUV product matrices to fully meet the needs of family vehicles.
Broad market space, ideal L6 is expected to lead sales
In 2023, B-Class and C-Class SUV sales were 3.679 million and 1.017 million, respectively, up 15.1% and 82.3% year-on-year, respectively. The Ideal L6 is an extended range model. While most cities enjoy NEV license plates, usage habits are close to those of fuel trucks. Competing models include high-quality NEV models and traditional strong fuel models. Ideal L6 is leading in product strength and is expected to transform sales of traditional oil trucks and some new energy models. It is conservatively estimated that the monthly steady sales volume of the L6 is expected to exceed 20,000 units, which has the potential to explode.
The ideal algorithm continues to iterate, and the level of intelligence accelerates
The ideal intelligent driving and smart cockpit achieve continuous upgrades. All systems are equipped with smart driving functions as standard, with AD Pro 3.0 upgrade, high-speed NOA, urban LCC, and intelligent parking in complex parking spaces; AD Max 3.0 upgrades toll gate traffic, command-type autonomous driving, and urban autonomous driving for complex road conditions. At the same time, AEB has completed performance upgrades for multiple scenarios, and parking AEB can recognize more complex environments to complete braking. In terms of a smart cockpit, it is ideally equipped with a Qualcomm 8295P chip, but the underlying architecture is continuously optimized. The screen delay is less than 90 ms. The 3K four-screen interaction and the large Xmind model are expected to continue to optimize the cockpit driving experience.
Profit Forecasts, Valuations, and Ratings
We expect the company's revenue for 2024-2026 to be 1,844/2968/373.8 billion yuan, respectively, with year-on-year growth rates of 48.9%/60.9%/25.9%, and net profit to mother of 145.9/242.6/37.25 billion yuan respectively, with year-on-year growth rates of 24.6%/66.4%/53.5%, EPS 6.87/11.43/17.55 yuan/share, respectively, and a 3-year CAGR of 47.1%. In view of the continuous improvement of the company's product strength, the gradual improvement of the product matrix and energy type, and the steady increase in the level of intelligence, sales are expected to be realized. Continued attention is recommended.
Risk warning: risk that downstream consumer demand falls short of expectations; industry competition increases risk; risk of rising raw material prices.