# Changzhou Xingyu Automotive Lighting Systems (601799.SHG)

Canonical: https://gigainvestors.com/s/601799.SHG

Analysis as of: 2026-10-16T07:39:31.265Z. Financial observations: FY2007–FY2025.

Listing currency: CNY. Reporting currency: CNY.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: CNY 66.01 per share; close as of 2026-10-15.

Estimated value: low CNY 90.02 per share, central CNY 123.55 per share, high CNY 143.08 per share. Buy at or below the central value CNY 123.55 per share. Valuation as of 2026-10-16T07:39:31.265Z; scenarios are not confidence intervals.

Expected annual return: 16.9% at the stated quote. About 16.9% a year at today's price (required return 10.0%). required return 10.0% a year (10% floor; CN 10-year bond 1.7% + 4 points).

## Checklist

### understandable: pass

- 0 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.17×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.11×

- FY2017: 0.13×

- FY2018: 0.14×

- FY2019: 0.16×

- FY2020: 0.19×

- FY2021: 0.14×

- FY2022: 0.13×

- FY2023: 0.12×

- FY2024: 0.12×

- FY2025: 0.11×

### moat: pass

- ROIC, median of available years: 17.2%

- ROIC, second-lowest year: 12.5%

- Typical minus recent gross margin: 3.8 pp

- Typical gross margin (annual median): 21.5%

- Recent gross margin (lower of latest and 3-year median): 17.8%

- Years with nonpositive capital: 0

- Capital spending / revenue: 10.5%

- ROIC including acquisitions, ten-year median: 14.5%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 10.3%

- FY2017: 12.5%

- FY2018: 15.8%

- FY2019: 38.2%

- FY2020: 54.7%

- FY2021: 24.2%

- FY2022: 21.4%

- FY2023: 18.6%

- FY2024: 14.8%

- FY2025: 13.4%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- working capital as a share of revenue rose more than 10pp and ends positive

- Owner earnings / net income, 5-yr: 0.77×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: CNY 4.6B

- Net income, five-year total: CNY 6.0B

- Return on incremental invested capital: 10.8%

- Working capital / revenue, annual change: 4.2 pp

- Working capital / revenue, change between three-year averages: 29.7 pp

- Working capital / revenue, final three-year average: 34.5%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.10×

- FY2022: 0.42×

- FY2023: 1.00×

- FY2024: 1.00×

- FY2025: 1.00×

### management: pass

- Historical market-dollar context (not the management verdict): 2016 to 2025 (9 years)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: 12.5% vs 14.8%

- Per-share earnings: 1.37 to 4.93 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 1.7%

- Ordinary dilution, 5-year annual growth: 0.5%

- Market cap gain: CNY 25B

- Cumulative retained earnings: CNY 6.3B

- Diluted shares, 10-year annual growth: 1.7%

- Diluted shares, 5-year annual growth: 0.5%

- $1 test, starting fiscal year: FY2016

- $1 test, ending fiscal year: FY2025

- Per-share value growth: 17.3%

- Per-share value change: CNY 3.56

- Per-share value, starting three-year median: CNY 1.37

- Per-share value, ending three-year median: CNY 4.93

- Buybacks concentrated in cheaper years (correlation): -1.00

- Average buyback yield: 0.5%

- Buyback history: 2 years

- Debt-funded buybacks: No

- Acquisition spending: CNY 411M

- Cumulative net income, 10 years: CNY 9.4B

- ROIC, first three-year median: 12.5%

- ROIC, last three-year median: 14.8%

Chart: Earnings per share; fiscal year observations.

- FY2016: CNY 1.37

- FY2017: CNY 1.70

- FY2018: CNY 2.21

- FY2019: CNY 2.86

- FY2020: CNY 4.18

- FY2021: CNY 3.32

- FY2022: CNY 3.30

- FY2023: CNY 3.81

- FY2024: CNY 4.93

- FY2025: CNY 5.73

### accounting: pass

- Sloan accruals: -4.4%

- Receivables to sales index (DSRI): 1.02×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 0.0%

- Earnings backed by cash: Yes

- Operating cash / earnings: 1.53×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.05×

Chart: Sloan accruals; fiscal year observations.

- FY2016: 0.2%

- FY2017: -6.2%

- FY2018: -1.0%

- FY2019: -3.4%

- FY2020: -6.3%

- FY2021: 3.6%

- FY2022: -3.5%

- FY2023: 2.7%

- FY2024: 2.9%

- FY2025: -4.4%

## Holders

## Price story

Down 71% since Oct 2021 · sales +14.8%

Story as of 2026-10-16T10:00:10.840Z; price observation 2026-10-15.

Price needs cash profits to shrink 2.6% a year for ten years

### Sales · FY2024–2025

sales +14.8%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: CNY 3.3B 

- FY2017: CNY 4.3B 

- FY2018: CNY 5.1B 

- FY2019: CNY 6.1B 

- FY2020: CNY 7.3B 

- FY2021: CNY 7.9B 

- FY2022: CNY 8.2B 

- FY2023: CNY 10B 

- FY2024: CNY 13B 

- FY2025: CNY 15B 

### Gross margin · FY2025

gross margin 17.8%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 20.9% 

- FY2017: 21.3% 

- FY2018: 22.4% 

- FY2019: 23.8% 

- FY2020: 25.7% 

- FY2021: 21.8% 

- FY2022: 22.2% 

- FY2023: 20.4% 

- FY2024: 19.0% 

- FY2025: 17.8% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in auto parts; annual sales are CNY 15.2 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2025: revenue 15208779757; grossProfit 2701237808; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 601799.SHG: Changzhou Xingyu Automotive Lighting Systems Co., Ltd., together with its subsidiaries, engages in the research, design, manufacturing, and sale of automotive lights in China and internationally. The company offers digital light processing headlights and adaptive high beams; film dynamic projection lamps; surface LED, mini LED/OLED, and ISD; and grille lights. It also provides smart cockpits, including indoor lights, cabin ambient lighting, head-up displays, and AI CMS electronic exterior rearview mirrors; intelligent driving products, such as millimeter-wave radar, 2MP front view all-in-one camera FVC11, 8MP front view all-in-one FVC10, and integrated parking domain control; and control module comprising digital headlight, lighting domain, intelligent signal, and intelligent headlight controllers. In addition, the company offers smart manufacturing solutions, which include digital project construction, MOM construction and horizontal expansion, and digital talent development, as well as automation. Further, it is involved in the manufacturing of lighting fixture, intelligent vehicle equipment, electronic components, electromechanical assembly equipment, optoelectronic device, semiconductor lighting, energy-based manufacturing equipment, industrial automatic control system, radar and related equipment, and integrated circuit chips, as well as plastic products and molds; automobile spare parts wholesale; software development and sale; import and export agency activities; and technical services, development, consulting, and exchanges. The company was founded in 1993 and is headquartered in Changzhou, China.

### Why customers stay

Margins ranged from 17.8% to 20.4% during 2023–25; it earns 17.2% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2023: grossProfit / revenue = 20.4%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2024: grossProfit / revenue = 19%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2025: grossProfit / revenue = 17.8%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); 10-year return on capital observations [[2016,0.10258614822606674],[2017,0.12452378839110173],[2018,0.1577309096587223],[2019,0.38183810347936853],[2020,0.546704571915706],[2021,0.24171681246715357],[2022,0.21416258530133753],[2023,0.1862632970885787],[2024,0.14828529786829198],[2025,0.13392551536938838]]; median 0.17199710337365048. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Can it raise prices

Kept about a 22% gross margin through 2022 cost inflation.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); Gross margin observations: [[2021,0.21799834589679637],[2022,0.22233251078207394],[2023,0.2038118955707875]]; range within 2 percentage points.

### Where the cash goes

Spends 18.3% of cash earnings on expansion; earns 10.8% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2016: growth capex 189914001.61; upkeep 88618696; owner earnings 349904085. Growth capex / owner earnings = 0.5427601727199042.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2017: growth capex 257188246.07066312; upkeep 258554171.61933687; owner earnings 306323785.38066316. Growth capex / owner earnings = 0.8395960690778871.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2018: growth capex 197411972.60000002; upkeep 119140792; owner earnings 610536606. Growth capex / owner earnings = 0.3233417466863568.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2019: growth capex 266575904.9451034; upkeep 550973177.2848966; owner earnings 381877638.7151034. Growth capex / owner earnings = 0.6980662859497258.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2020: growth capex 323375632.5955099; upkeep 471794587.1944901; owner earnings 879798989.8055099. Growth capex / owner earnings = 0.3675562672184881.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2021: growth capex 166644572.15604687; upkeep 1098546188.4739532; owner earnings 92079453.3260467. Growth capex / owner earnings = 1.8097910677854532.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2022: growth capex 107723039.78958762; upkeep 847973469.5904124; owner earnings 398994810.86958766. Growth capex / owner earnings = 0.26998606712405876.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2023: growth capex 663409894; upkeep 377223914; owner earnings 1097259699.492. Growth capex / owner earnings = 0.6046060876081932.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2024: growth capex 212685074; upkeep 466456917; owner earnings 1406110447.042. Growth capex / owner earnings = 0.15125772975189847.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2025: growth capex 296246691; upkeep 634722712; owner earnings 1621229834.026. Growth capex / owner earnings = 0.18272960735266672.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); Incremental return on capital 0.10812628967284746, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); Dividend observations: [[2016,175553617.59],[2017,211333897.61],[2018,281539673.57],[2019,273393679],[2020,276155232],[2021,359007929],[2022,314247360],[2023,312436522],[2024,397275541],[2025,426462366]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); FY2025: cash repurchases 161186910 CNY.

### Are managers owners

Insiders own 54.9% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); 601799.SHG SharesStats.PercentInsiders = 54.92700000000001 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits shrink 2.6% yearly over ten years; actual growth was 16.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:39:31.265Z); Ten-year compound average after fade. Initial solved rate -0.049215105888845756. Price 66.01; FX 1; discount 0.1; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 1.2244199158255902 → FY2025 5.717060888208691. Closing-price date 2026-10-15.

## Monthly share-price history (CNY per share)

- 2016-10: CNY 39.06 per share

- 2016-11: CNY 39.43 per share

- 2016-12: CNY 38.50 per share

- 2017-01: CNY 37.75 per share

- 2017-02: CNY 38.09 per share

- 2017-03: CNY 37.85 per share

- 2017-04: CNY 38.93 per share

- 2017-05: CNY 42.00 per share

- 2017-06: CNY 44.22 per share

- 2017-07: CNY 45.78 per share

- 2017-08: CNY 44.46 per share

- 2017-09: CNY 49.83 per share

- 2017-10: CNY 52.48 per share

- 2017-11: CNY 50.40 per share

- 2017-12: CNY 49.50 per share

- 2018-01: CNY 46.89 per share

- 2018-02: CNY 51.32 per share

- 2018-03: CNY 55.12 per share

- 2018-04: CNY 51.64 per share

- 2018-05: CNY 62.20 per share

- 2018-06: CNY 59.89 per share

- 2018-07: CNY 53.30 per share

- 2018-08: CNY 49.93 per share

- 2018-09: CNY 52.36 per share

- 2018-10: CNY 48.05 per share

- 2018-11: CNY 48.78 per share

- 2018-12: CNY 47.50 per share

- 2019-01: CNY 51.87 per share

- 2019-02: CNY 57.06 per share

- 2019-03: CNY 60.10 per share

- 2019-04: CNY 71.64 per share

- 2019-05: CNY 75.00 per share

- 2019-06: CNY 78.96 per share

- 2019-07: CNY 76.48 per share

- 2019-08: CNY 76.28 per share

- 2019-09: CNY 77.15 per share

- 2019-10: CNY 85.10 per share

- 2019-11: CNY 84.00 per share

- 2019-12: CNY 94.98 per share

- 2020-01: CNY 98.50 per share

- 2020-02: CNY 97.30 per share

- 2020-03: CNY 83.76 per share

- 2020-04: CNY 99.21 per share

- 2020-05: CNY 108.92 per share

- 2020-06: CNY 127.00 per share

- 2020-07: CNY 149.00 per share

- 2020-08: CNY 165.60 per share

- 2020-09: CNY 149.73 per share

- 2020-10: CNY 162.39 per share

- 2020-11: CNY 190.34 per share

- 2020-12: CNY 200.50 per share

- 2021-01: CNY 214.15 per share

- 2021-02: CNY 191.06 per share

- 2021-03: CNY 189.00 per share

- 2021-04: CNY 194.38 per share

- 2021-05: CNY 192.48 per share

- 2021-06: CNY 225.72 per share

- 2021-07: CNY 206.09 per share

- 2021-08: CNY 193.52 per share

- 2021-09: CNY 181.00 per share

- 2021-10: CNY 228.66 per share

- 2021-11: CNY 217.00 per share

- 2021-12: CNY 204.25 per share

- 2022-01: CNY 169.50 per share

- 2022-02: CNY 154.28 per share

- 2022-03: CNY 129.95 per share

- 2022-04: CNY 127.88 per share

- 2022-05: CNY 150.81 per share

- 2022-06: CNY 171.00 per share

- 2022-07: CNY 175.60 per share

- 2022-08: CNY 140.28 per share

- 2022-09: CNY 152.39 per share

- 2022-10: CNY 122.44 per share

- 2022-11: CNY 131.99 per share

- 2022-12: CNY 127.37 per share

- 2023-01: CNY 135.31 per share

- 2023-02: CNY 151.00 per share

- 2023-03: CNY 119.90 per share

- 2023-04: CNY 109.45 per share

- 2023-05: CNY 105.97 per share

- 2023-06: CNY 123.60 per share

- 2023-07: CNY 143.19 per share

- 2023-08: CNY 147.85 per share

- 2023-09: CNY 152.00 per share

- 2023-10: CNY 146.20 per share

- 2023-11: CNY 144.18 per share

- 2023-12: CNY 131.11 per share

- 2024-01: CNY 126.70 per share

- 2024-02: CNY 140.45 per share

- 2024-03: CNY 140.06 per share

- 2024-04: CNY 133.35 per share

- 2024-05: CNY 122.88 per share

- 2024-06: CNY 112.04 per share

- 2024-07: CNY 124.72 per share

- 2024-08: CNY 116.70 per share

- 2024-09: CNY 147.67 per share

- 2024-10: CNY 137.30 per share

- 2024-11: CNY 134.54 per share

- 2024-12: CNY 133.48 per share

- 2025-01: CNY 131.70 per share

- 2025-02: CNY 129.02 per share

- 2025-03: CNY 137.73 per share

- 2025-04: CNY 132.60 per share

- 2025-05: CNY 139.80 per share

- 2025-06: CNY 125.00 per share

- 2025-07: CNY 118.58 per share

- 2025-08: CNY 121.08 per share

- 2025-09: CNY 134.88 per share

- 2025-10: CNY 129.60 per share

- 2025-11: CNY 120.47 per share

- 2025-12: CNY 123.37 per share

- 2026-01: CNY 138.00 per share

- 2026-02: CNY 152.61 per share

- 2026-03: CNY 122.01 per share

- 2026-04: CNY 124.08 per share

- 2026-05: CNY 127.00 per share

- 2026-06: CNY 90.62 per share

- 2026-07: CNY 99.20 per share

- 2026-08: CNY 78.39 per share

- 2026-09: CNY 70.33 per share

- 2026-10: CNY 68.00 per share

## Annual estimated value (CNY per share)

- FY2016: low CNY 16.52 per share, central CNY 18.59 per share, high CNY 21.34 per share

- FY2017: low CNY 23.88 per share, central CNY 33.27 per share, high CNY 38.73 per share

- FY2018: low CNY 28.65 per share, central CNY 39.84 per share, high CNY 46.36 per share

- FY2019: low CNY 41.88 per share, central CNY 55.31 per share, high CNY 63.14 per share

- FY2020: low CNY 55.50 per share, central CNY 71.60 per share, high CNY 80.97 per share

- FY2021: low CNY 35.00 per share, central CNY 38.00 per share, high CNY 42.00 per share

- FY2022: low CNY 38.42 per share, central CNY 48.97 per share, high CNY 55.11 per share

- FY2023: low CNY 40.76 per share, central CNY 53.69 per share, high CNY 61.23 per share

- FY2024: low CNY 77.00 per share, central CNY 105.68 per share, high CNY 122.38 per share

- FY2025: low CNY 89.75 per share, central CNY 122.90 per share, high CNY 142.20 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.