With the development of lithium battery technology and the popularity of new energy vehicles, the electrification of domestic vehicles has gradually formed a trend, but there is still a long way to go from intelligence, so now it is generally called "electric vehicles" for new energy vehicles equipped with lithium batteries.
Electric vehicles to smart cars are far from simply replacing the display screen on the driving seat of traditional fuel vehicles with iPads, but to make the entire car body parts become intelligent, only in this way can the final Internet of Vehicles, the Internet of Things and even the Internet of Everything be realized.
At present, the car can realize the interaction between the car and the road surface and road conditions should be the driving recorder, which can record some road conditions near the car, events, etc., but this is not how smart, but based on the safe settings of the car driving process.
However, the driving recorder can only record the position of the vehicle and a small amount of video data, the state and data of the vehicle itself is lacking in recording, and the analysis efficiency is relatively low after a special accident, so in this case, the state is requiring the vehicle to install an event data recording system that can provide data on the speed of the vehicle, braking state and other data, referred to as EDR, through the revision of the motor vehicle standard.
According to the requirements of relevant documents, the specific time for the mandatory installation of EDR on vehicles is implemented from January 1, 2022, near the end of 2021, only ten days from 2022, at this time A shares have also set off a boom in speculation on EDR, and the largest increase in Enlightenment Information (002232.sz) has doubled in 34 trading days.
The new standard forces the installation of EDR
By definition, EDR is the abbreviation of Event Data Recorder, that is, the automotive event recording system, which mainly records the key driving data of the car in the three stages before, during and after the collision, including speed, ABS status, seat belt status and other data, so it is also known as the "black box" of the automotive industry.
(Source: Industrial Securities Research Report)
Mention the "black box" generally think of the plane black box, in March 2014 occurred malaysia airlines MH370 missing contact incident, after the incident people in addition to concerned about the passenger situation on the plane, the most concerned is the MH370 black box, hope through the black box to understand what happened at that time, until May this year there was news that MH370 black box found.
The example of Malaysia Airlines is only to illustrate the importance of the black box, for the car, a black box that can record the real data of the car itself before and after the event is also a crucial thing!
In February this year, the state issued the "Technical Conditions for the Safety of Motor Vehicle Operation" (GB7258-2017) National Standard No. 2 amendment order, requiring that from January 1, 2022, newly produced passenger cars should be equipped with EDR or equipped with DVRs that comply with the provisions of GB/T 38892.
The official document "Technical Conditions for The Safety of Motor Vehicle Operation (GB7258-2017)" issued by the Beijing Traffic Management Bureau in September 2017 also shows that the new version adds the requirements for passenger cars equipped with EDR compared with the previous version, and the new version of the regulations is officially implemented on January 1, 2018, while the provisions on the mandatory installation of EDR will be implemented in the 37th month after the official implementation, that is, January 2022.
(Screenshot of "Technical Conditions for Motor Vehicle Operation Safety" (GB7258-2017))
It is worth noting that, unlike other opinion documents, the Technical Conditions for the Safety of Motor Vehicle Operation (GB7258-2017) is a mandatory national standard document, which also means that from January 1, 2022, domestic passenger cars will be required to be mandatorily equipped with EDR!
The "demon stock" soared 2 times in 34 days
As the implementation date of the mandatory installation of EDR regulations is approaching, the capital market's attention to EDR has gradually increased, and after entering December, the A-share automotive electronic concept stock Qiming information has been pulled on the board, which has doubled this month, and today it is once again strong.
(Screenshot of the stock price trend of Qiming Information)
It can be seen that since entering December, there have been a total of 9 trading days, Qiming Information has stepped out of 7 up and down boards, the stock price has risen from 13.68 yuan at the end of November to the current 27.24 yuan, 9 trading days have just doubled, and the market value has soared from 5.589 billion to 11.129 billion!
If calculated from the low of 9.3 yuan / share at the end of October this year, Qiming Information has risen twice in the past 1 and a half months, and the market value has risen from 3.816 billion to 11.129 billion.
But even so, the company's stock price is still 2 stops away from the historical high in 2015!
Qiming Information is a company focusing on it in the automotive industry, positioned to build a first-class digital solution provider in the automotive industry. Focusing on vehicle manufacturing, casting and forging, assembly and parts enterprises, the company provides an intelligent production platform from the underlying equipment to the cloud, realizes the integration of cloud-side-end data penetration, and the digital control of the whole process, and provides customized development, production and after-sales service of intelligent network terminal products such as front-loading navigation, driving recorder, and National VI regulation monitoring module for vehicle enterprises.
In the first half of the year, Qiming Information achieved revenue of 445 million, of which automotive electronics and service revenue was 202 million, accounting for 45.43%, management software and service revenue was 93.737 million, accounting for 21.05%, integration service revenue was 149 million, accounting for 33.44%, and other business revenue was 400,000, accounting for 0.08%.
(Screenshot of Qiming Information Semi-annual Report)
However, it should be noted that in the first half of the year, both the company's overall revenue and sub-product revenue were declining. Looking ahead, Qiming Information has actually slowed down revenue growth in several consecutive reporting periods, until the last two reporting periods turned negative!
(Source: Flush website)
The continued slowdown in revenue growth should be the main reason why the company's stock price has continued to decline since the second half of 2020, and it was only recently that the market hype EDR reversed the decline in the company's stock price.
The situation of Qiming Information reminds Sharp Eye of Wanji Technology (300552.sz) when the market hypes ETC at the beginning of 2019, when the stock price of Wanji Technology soared by 1.85 times in just 50 trading days, and by the end of 2019, it has risen more than 9 times, but at present its stock price has fallen by more than 60%!
It is worth mentioning that the controlling shareholder of Qiming Information is China FAW Group, and the predecessor of Qiming Information is the Electronic Computing Office of China FAW Group.
The penetration rate of the domestic EDR market is low
It is not clear what kind of impact the implementation of the mandatory new regulations will have on the domestic EDR market, but there is still room for imagination.
According to the data of the Automobile Association, the cumulative production of domestic automobiles in the first 1-10 months of this year was 20.587 million units, of which 2.33 million were produced in October, and the China Automobile Association expects the annual output of more than 26 million vehicles in 2021 and the output of 27.43 million units in 2022.
Industrial Securities according to the Hongquan Internet of Things prospectus data forecast, a single driving recorder market price of about 500 yuan, considering the alternative relationship between DVR and EDR, assuming that the single EDR market price of 250 yuan, 70% of the vehicles use EDR scheme, according to the China Automobile Association is expected to 27.43 million vehicles in 2022, the domestic EDR market in 2022 can reach 4.8 billion scale!
But in fact, the proportion of domestic vehicles equipped with EDR is extremely low. According to the data of The High-tech Intelligent Automobile Research Institute, the loading rate of the domestic new car driving recorder in 2020 is only 7.12%, and only a few high-end car series are equipped with EDR.
After entering 2022, with the implementation of the new regulations for the mandatory installation of EDR, the loading rate of new domestic car driving recorders will naturally gradually increase. However, compared with the current carrying rate of only 7.12%, it is both space and difficult to make the domestic EDR carrying rate reach a certain proportion!
At present, the companies involved in EDR equipment in A shares mainly include Qiming Information, Ruiming Technology, Hongquan Internet of Things, National Technology, Derun Electronics, Xiechuang Data, Meiya Bakke, and only Qiming Information has mature EDR products, and other companies only involve similar functional products or supporting equipment of EDR.
(Screenshot of Industrial Securities Research Report)
On the whole, the surge in the stock price of Qiming Information in the short term is indeed related to the imminent implementation of the new EDR regulations, but this is only the emotional speculation of the secondary market, how to force the implementation of the new EDR regulations has yet to be verified, perhaps you can refer to the situation of ETC that year, some places once required not to install ETC to prohibit the high speed, after 3 years of implementation to increase the penetration rate to more than 80%, and with the increase in penetration rate, the stock prices of related listed companies have fallen all the way!
However, one thing that can be determined is that the installation of DVR, EDR and other recorders has taken the car a step further to intelligence.