BYD Faces Challenges Amid Tough EV Market Competition in China -- Market Talk

Dow Jones01-16

0246 GMT - BYD faces a tougher growth backdrop given its already sizeable presence in China's EV market, says Macquarie analyst Eugene Hsiao in a note. Upcoming new model launches with meaningful technology upgrades could support BYD's competitiveness after market-share losses last year, he adds. That said, the upgrades could require higher bill-of-material costs that could pressure margins in an already challenging year for EV input costs, he says. The overseas growth momentum and profitability could still support a re-rating if it beats market expectations again this year, he adds. Macquarie maintains an outperform rating for the stock and cuts its target price to HK$115.00 from HK$126.00. Shares last at HK$100.50. (jiahui.huang@wsj.com; @ivy_jiahuihuang)

(END) Dow Jones Newswires

January 15, 2026 21:46 ET (02:46 GMT)

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