This content is from: Research

The 2013 All-China Research Team: Autos & Auto Parts, Second: Yingbo Xu

Yingbo Xu
Citic Securities
First-place appearances: 0

Total appearances: 1

Analyst debut: 2013

Joining this lineup in the No. 2 slot is Yingbo Xu of Citic Securities. Portfolio managers benefit from his “trustworthy research,” as one client puts it. China’s autos and auto parts stocks surged 35.5 percent over the first ten months of 2013, easily outperforming the broad market’s flat performance. Xu believes that the industry has undergone a transition from “fast growth [to] smooth growth,” he says. Against this backdrop, investors would do well to prefer companies that are among the most rapidly expanding and the most likely to consolidate their positions in the industry in the near term, the Beijing-based analyst advises. On these terms, he favors Faw Car Co., which manufactures automobiles, engines and transmission systems. The Changchun-based producer, Xu notes, has demonstrated particularly robust increases in profits and market share. He urged money managers to buy the stock in April, and by the end of October, it had rocketed 46.4 percent, to 13.26 yuan. — Katie Gilbert

Related Content