JOYSON ELEC Shares Surge Over 5% in Late Trading on Tesla FSD News and Strong R&D Pipeline

Stock News15:09

JOYSON ELEC (00699) saw its shares rise more than 5% in late trading. As of the time of writing, the stock was up 5.06% to HKD 17.86, with a turnover of HKD 172 million.

The surge follows market reports on May 21st that Tesla has opened its supervised Full Self-Driving (FSD) system for use in 10 countries or regions, including China. This news triggered a significant rally in Hong Kong-listed autonomous driving concept stocks.

Analysts at CITIC Securities noted that while the pace of L3 regulatory approvals and Robotaxi commercialization varies globally and remains uncertain, the trend is clear. As autonomous driving technology advances to L3/L4 levels and companies increase their investments, policy frameworks are shifting from operational testing to scaled commercialization. They believe economic models for autonomous driving are likely to be validated first in the U.S., the Middle East, and major Chinese cities.

Huatai Securities pointed out that JOYSON ELEC's intelligent driving business is progressing smoothly. The company has developed a comprehensive product portfolio covering L2+ to L4 levels. Domestically, it has secured several key project designations from both domestic and joint-venture brands. Notably, a collaboration with a leading domestic brand for an L3-level autonomous driving project is expected to enter mass production as early as mid-year.

Internationally, the company is accelerating its expansion into Southeast Asian, European, and North American markets. Its partnership with Vietnamese electric vehicle maker VinFast continues to deepen, with related intelligent driving domain controller projects set to enter a concentrated mass production phase within the year, with further volume growth expected thereafter.

Currently, JOYSON ELEC boasts a robust pipeline of intelligent driving projects under development. As these orders gradually convert, the pace of revenue generation is anticipated to accelerate significantly.

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