On September 8, JPMorgan published a research report highlighting that BYD’s performance in the second quarter surpassed expectations and emphasized that its long-term strategic development merits close attention. While maintaining a generally cautious stance toward China’s auto industry as a whole, JPMorgan expresses optimism about automakers that boast scale advantages, product diversification, and a global footprint—with BYD and Geely identified as its top picks. From a strategic viewpoint, JPMorgan shows a preference for the heavy-duty truck segment, exemplified by Sinotruk, over passenger vehicles.

The report projects that BYD’s average profit per vehicle will remain strong in the latter half of this year, with an estimated profit of approximately RMB 10,000 per vehicle in the fourth quarter. Furthermore, as production capacity expands in regions such as Hungary, Indonesia, and Brazil, overseas profit per vehicle is expected to rise even further, currently hovering around RMB 20,000. JPMorgan reaffirms an Overweight rating for BYD’s H-shares, setting a target price of HKD 124; similarly, it maintains an Overweight rating for BYD’s A-shares, with a target price of RMB 124.