HK Stock Market Move | Yongda Auto (03669) rises more than 7%, the company expands its sales network for new energy vehicles. Institutions are optimistic about its cooperation prospects with Huawei.

YONGDA AUTO (03669) rose more than 7%, as of press time, it rose 7.33% to HKD 2.49 with a turnover of HKD 13.837 million. On the news front, Citigroup previously pointed out in a research report that the company's management recently held a conference call with investors to discuss the performance of Huawei's HarmonyOS smart dealership stores and next year's new energy vehicle (NEV) business outlook. It was revealed that the company is expected to have 7 Huawei HarmonyOS smart dealership stores by the end of this year. The bank expects HarmonyOS smart dealership to collaborate with more dealers to expand sales volume, and expects Yongda's Huawei HarmonyOS smart dealership stores to increase to about 40 to 50 by next year. JPMorgan also stated that Yongda Auto's deepening collaboration with Huawei, especially in the HarmonyOS smart dealership (HIMA) aspect, will further expand its new energy vehicle (NEV) sales network. It is expected that by 2025, Huawei-related NEV sales stores will account for 30% of its total dealer network. The bank believes that Yongda Auto's fundamentals are improving, and its cooperation with Huawei will bring new growth momentum. It recommends investors to pay attention to its progress in cooperation with Huawei and market performance.