Maintain auto Stock (NYSE:ATHM) Hold rating

The following is a summary of the contents of the report:

Auto yesterday released its fiscal year 2013 in the quarter, with net revenue of 386 million yuan ($ 63.8 million), up 74.1% per cent. Net profit of 122.7 million yuan (about 20.3 million U.S. dollars), an increase of 183.2%.

We still believe that auto last year had a share of about 25% per cent of the auto online media market. We believe that the market share will continue to grow. Because of the user's stay time, Auto's share is about 50%.

China's auto industry allocates about 20% of its advertising budget to online media, compared with about 40% in the U.S. auto industry, according to data. Based on historical records, the trend of China's auto market will also be in the direction of the U.S. market. As a result, we expect the Chinese auto industry to double its advertising budget for online media.

Meanwhile, Deutsche Bank also released a report today, continuing to maintain the "hold" rating of auto shares, but to increase its target share price by 12% to 38 dollars.