Lyon: Raises target price for LEAPMOTOR (09863) to HK$40.6, maintains "outperform" rating.

Lyon released a research report stating that it has raised the target price of LEAPMOTOR (09863) to 40.6 Hong Kong dollars and maintained its "outperform" rating. LEAPMOTOR's third-quarter gross profit margin reached 8.1%, an increase of 5.3 percentage points from the previous quarter, surpassing market expectations. The report emphasizes that LEAPMOTOR is expected to continue to improve its gross profit margin in the fourth quarter, with the annual gross profit margin expected to exceed the target of 5%. In addition, LEAPMOTOR's expansion in the European market is gaining momentum, with a current order of 12,000 units, far exceeding market expectations. Lyon Securities believes that with the launch of new models, LEAPMOTOR's sales growth will be further boosted, and the contribution of its export business to profitability will soon become evident.