King's Financial News | Caitong Securities research points out that Minth Group (00425) is the world's largest supplier of aluminum battery boxes and sheet metal body structural parts, with four major product lines including plastic parts, metal and decorative parts, battery boxes, and aluminum parts, five major research and development centers, over 70 production factories, with business operations spanning globally, serving customers across 14 countries on 3 continents, and providing services to over 70 automotive brands. To date, the company has continuously expanded its product range, and through independent research and development, has formed a new product system including innovative products such as aluminum power battery boxes, light-emitting grilles, and asia vets front faces.

The bank pointed out that the company's battery box business revenue from 2021 to 2023 meets the growth rate. According to the bank's calculations, the company's global market share of battery boxes increased from 2.1% in 2021 to 13.3% in 2023, an increase of 11.2 percentage points. The company has the scale production capacity of aluminum power battery shells and a global production layout. For quality components with large volume like battery shells, long-distance transportation is not cost-effective. The company's implementation of "global near-supply" has become a competitive advantage.

The bank also mentioned that the company has laid out three types of intelligent exterior system products: asia vets front faces, tailgates, and side doors. The company has launched an integrated intelligent front face solution with functions including lighting, heating, wave transmission, automatic cleaning, etc. The company is actively expanding in the intelligent car door field, including applications such as intelligent entry and automatic opening. In addition, the electric side-opening door system has also received production orders from a certain new energy brand.

The bank stated that the company is expected to achieve revenues of 25.115/30.082/34.032 billion yuan and net income attributable to the parent company of 2.342/2.796/3.143 billion yuan from 2024 to 2026. The corresponding PEs are 6.78/5.68/5.05 times. With initial coverage, a "shareholding" rating is given.