CAAS China Automotive Systems Inc

$CAAS For anyone paying attention, Zhejiang Shibao is the closest Chinese competitor to CAAS. Both companies manufacture steering systems for Chinese and international automakers, competing for OEM contracts, particularly in electric power steering (EPS). Zhejiang Shibao just put out Q3 results and it is good news for CAAS. Gross margins stayed basically the same (17.78% vs 17.31%) which is important given people were worried about them getting squeezed. Operating cash flow increased 40.2% and revenue was up 15% YoY. They usually mirror CAAS, which means we should be seeing around 12-15% also for CAAS and would beat projections. I wish managment would just get this buyout offer out instead of letting this sink and us suffer.

$CAAS This is a big line in the sand for CAAS. It remains my second-largest position, and I continue to add below $4.35, including more shares today 4.24-4.21. Based on Q3 results from CAAS’s major customers and the performance of its competitors, they should easily beat H2 expectations for both profits and revenues. You certainly wouldn’t know it from the share price. Trading at roughly 2x earnings and just 25% of book value. At this point, I have to wonder whether management is deliberately allowing the stock to sink by withholding buybacks and dividends, setting the stage for a cheaper take-private deal. I can't prove that's the strategy, but it's becoming increasingly difficult to explain the lack of action any other way.

$CAAS They raised FY2026 revenue guidance to $850 million last quarter, which means ~$219 million per quarter in H2. Management has a history of underestimating, and it sure looks like they will do it again if things hold. Sept numbers are all now in and CAAS’s major customers (ex-Stellantis), have reported great results. Chery is exporting over 180,000 vehicles a month. BYD’s overseas shipments from China are up 80% YoY. Back-of-the-envelope calculations and CAAS should easily beat guidance. The new European OEM EPS program (ASIL-D and ASPICE) is also a big deal. These systems sell for 2–3X the price of conventional EPS units. Assuming their 22-25% margins and 90,000 units in 2027 projected that is $0.25+ per share more in EPS. The biggest concern remains a buyout below 7. That they have not done buybacks or dividends yet makes this possibility grow daily. Got hit for a lot more shares at 4.20-4.30s on the dip a few weeks ago. Was travelling so did not post.

$CAAS I was playing with the new Deepseek API and had it create a two pager pitch. Strangely, bull does not feel like a bull to me. But the upside potential is there.

$CAAS I was playing around with my personal screener + ai analysys generator and this company grabbed my attention in a small cap world along with $ESEA and $GRVY 👀 I need to do a bigger digging

$CAAS earned UL ISO 26262 ASIL-D certification for its AP04 EPS platform, boosting readiness for European mass production.

$CAAS hard to believe we are back in this price range. Just need next leg up to be 6+. I still think this climbs over 10 within 12-18 months.