Jinwu Financial News | China Merchants Securities released an updated report on the two-wheeler industry, reviewing 2024:1) As a policy transition year after the price war year, the fundamentals of the industry were weak in 2024. 2) In terms of stock prices, after two catalytic increases in policy expectations, the year-end stock price interpretation returned to short-term fundamentals from policy expectations.

According to the bank, the trade-in blockage has been cleared, and 2025 is expected to release better results. 1) In 2024, there was a phenomenon where the year-end effects of trade-in were superior to the peak season. It is mainly due to factors such as early cut-and-drop, complicated procedures, and high receipt requirements to suppress the exchange. After November, the standard switch was completed and superimposed, and the trade-in effect was better released; 2) The trade-in blockage was revealed and cleared this year, and the dealer-side renewal model basically worked. In addition, next year's policy pace is more clear, and the trade-in effect is expected to be fully released in 2025. Among them, leading companies are expected to fully release the trade-in effect by acquiring more designated stores and more designated stores. Strong financial strength and more compliant management, in Trade-in is even more beneficial.

Looking ahead to next year, the bank is optimistic about the two main lines of supply-side optimization represented by the implementation of the revised draft of the new national standard and demand side stimulation, which will bring about industry pattern optimization and demand boost, maintain the industry's “recommended” rating, focus on recommending Yadi Holdings (01585) and Emma Technology, and is optimistic that the leaders will achieve alpha and beta resonance.