CMSC International has released a research report maintaining its target price of HK$32 and an "Add" rating for GEELY AUTO (00175), keeping it as the top pick in the automobile sector. The institution believes that the accelerated volume growth of high-margin premium luxury vehicles and overseas business will catalyze profit growth elasticity for the full year. Furthermore, recent continuous share purchases by the company's management convey strong confidence in business development. After achieving phased success in its electric transformation, the company is now entering a high-quality development phase characterized by simultaneous growth in volume and profits. The company's sales in the first quarter reached a new record high. Sales in March totaled 233,000 units, essentially flat year-on-year (significantly outperforming the industry) and up 13% month-on-month. Among these, new energy vehicle sales reached 127,000 units, a 6% year-on-year increase, with their proportion rising to 55%. Cumulative sales for the first quarter reached 709,000 units, a 1% year-on-year increase, setting a new historical high for the period and demonstrating overall steady performance. The company's Zeekr brand continued its strong growth momentum, with sales of 29,000 units in March, a substantial 90% year-on-year increase, and an 86% cumulative year-on-year growth for the first quarter. This validates the continued successful implementation of its "upward technology, upward brand" strategy, further consolidating its position as a benchmark in the luxury pure-electric segment. Overseas exports in March reached 82,000 units, surging 120% year-on-year, with a 34% month-on-month increase. The export ratio rose to 35%, effectively hedging against fluctuations in domestic demand and becoming a significant growth engine.
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