In a global research report issued on May 12, HSBC highlighted that Geely Auto intends to privatize Zeekr, a strategic move anticipated to foster value enhancement and operational synergies. The bank predicts that the relentless introduction of new models coupled with advancements in autonomous driving technology will propel Geely Auto's sales and earnings to sustained growth in the upcoming quarters. HSBC has set its projection for the RMB-to-HKD exchange rate at 1.06 by the end of 2025 and has elevated Geely Auto's target price by 8.3%, adjusting it from HK$24 to HK$26. Given the current share price, HSBC estimates that Geely holds approximately 48% upside potential and maintains its "Buy" recommendation. Furthermore, HSBC has increased its earnings forecasts for Geely Auto by 6%-7% for the years 2025-2026, primarily fueled by the nascent cycle of electric vehicle models and elevated gross margin projections stemming from domestic sales growth. Notably, this marks the inaugural occasion where HSBC has introduced earnings forecasts for Geely Auto spanning into 2027.