PATEO (02889) surged more than 8%, reaching a record high of HK$249.6. At the time of writing, the stock was up 8.39% at HK$248, with a turnover of HK$9.84 million. Public information indicates that PATEO is a leading provider of smart cockpit solutions in the industry, boasting a diverse clientele of over 50 brands. Notably, since its listing in September 2025, the company has secured four major project awards. These include: the first high-end cockpit domain controller project for a domestic new energy vehicle maker, a high-end cockpit domain controller project based on the Snapdragon 8397 chip for a leading domestic NEV manufacturer, an overseas cockpit domain controller project on the Snapdragon 8295 platform for another leading domestic NEV maker, and a series of high-end smart cockpit projects for global models from a top global automaker. Everbright Securities previously highlighted that PATEO maintains close collaborations with industry leaders across the supply chain, such as Qualcomm and Huawei. The firm ranked third in the domestic cockpit domain controller market share in 2024 and has successfully entered the core supply chains of leading new energy vehicle manufacturers. The brokerage noted that PATEO possesses advantages in integrated hardware and software and demonstrates high revenue growth compared to mature automotive supply chain companies, warranting a certain premium in its price-to-sales valuation. Furthermore, the company has the potential to access overseas OEM supply chains through international clients like Porsche, positioning overseas revenue as a potential second growth engine. The company exhibits a degree of scarcity and possesses room for a valuation premium.
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