Morgan Stanley has released a research report stating that Great Wall Motor Company Limited's first-quarter performance this year fell below expectations. The company reported a net profit of 945 million yuan, representing a 46% year-on-year decline and a 23% decrease quarter-on-quarter. Core earnings also dropped 67% year-on-year to 482 million yuan. The firm assigned Great Wall Motor an "In-Line" rating with a target price of HK$15. Morgan Stanley believes that the negative impact from foreign exchange factors was already anticipated by the market, and the delayed Russian tax rebate will eventually be received. However, increased short-term volatility and a lack of positive surprises in the company's full-year profit forecast are expected to exert downward pressure on the stock price.
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