0942 GMT - BYD will continue to report stronger sales volume this year, HSBC Global Research analysts write in a note. The Chinese automaker may face some earnings volatility in 1Q, given weaker demand and rising pricing pressure, they say. However, BYD could respond to seasonality with a flexible pricing strategy due to its high operating leverage and strong pricing power, the analysts add. They reckon the company will sell 5.2 million units in 2025, thanks to robust demand spurred by continued government subsidies. For 2024, HSBC Global Research raises its earnings estimate by 7%, citing expectations of stronger gross margins on an improved product mix. It maintains a buy rating on the stock and raises the target price to HK$355.00 from HK$353.00. Shares last closed at HK$279.60. (jiahui.huang@wsj.com; @ivy_jiahuihuang)
(END) Dow Jones Newswires
January 21, 2025 04:42 ET (09:42 GMT)
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