Sealand Securities has released a research report expressing optimism about LEAPMOTOR's future development, maintaining an "Overweight" rating on the stock. The company is recognized for its pragmatic and efficient operations, having achieved a turnaround in the first half of 2025. The brokerage forecasts LEAPMOTOR's operating revenue for 2025-2027 to reach RMB 66.27 billion, RMB 104.12 billion, and RMB 135.41 billion, representing year-on-year growth rates of 106%, 57%, and 30%, respectively. Net profit attributable to shareholders is projected to be RMB 720 million, RMB 4.15 billion, and RMB 6.32 billion, indicating a turnaround from losses and subsequent increases of 476% and 52%. Earnings per share are estimated at RMB 0.51, RMB 2.92, and RMB 4.45, with corresponding price-to-sales valuations of 0.7x, 0.5x, and 0.4x based on the current share price. Key points from Sealand Securities' analysis are as follows.
Recent developments include LEAPMOTOR's announcement of February delivery figures on March 1, 2026. The company delivered 28,000 vehicles globally in February, an increase of 11.0% year-on-year. Cumulative deliveries for January to February reached 60,000 units, up 19.2% compared to the same period last year. Despite the impact of the Spring Festival holiday, the delivery performance remained robust, keeping the company within the top tier of new automakers.
LEAPMOTOR plans to launch several new models in 2026, including the D19, D99, and A10. The A10 model is positioned as an intelligent, premium long-range SUV with dimensions of 4270*1810*1635mm and a CLTC pure-electric range of 403-505 km. It emphasizes spaciousness and smart features as core selling points and is soon to begin pre-sales. According to Zhu Jiangming, Founder, Chairman, and CEO of LEAPMOTOR, cumulative sales of the B-series had reached nearly 200,000 units by February 2026, placing it in the leading segment for mainstream new energy vehicles in the RMB 100,000 price range. Specifically, the Lafa5 model exceeded 20,000 units within three months of launch, the B01 consistently surpassed 10,000 units monthly for multiple months, and the B10 accumulated over 100,000 units since its introduction.
The company has also initiated a new retail construction program nationwide, aimed at diversifying retail channels and enhancing the user experience. Qualified dealers will be able to handle various functions, including sales and delivery.
Potential risks include product sales falling short of expectations; difficulty in showcasing cost-performance advantages amid industry price wars; failure to meet sales targets; product quality control assessments not meeting expectations; instability in international market demand; exchange rate fluctuation risks; slower-than-expected development of overseas market operations; and the impact of reduced subsidies for new energy vehicles on price-sensitive mainstream consumer groups.
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