Morgan Stanley: Maintains "In line with the market" rating on Great Wall Motor (02333) with a target price of 12.2 Hong Kong dollars.

Morgan Stanley released a research report stating that they are maintaining a "synchronous with the market" rating for Great Wall Motor (02333), with a target price of 12.2 Hong Kong dollars. Morgan Stanley said that Great Wall Motor's preliminary domestic sales target for this year is 1 million vehicles, with a 40% penetration rate for new energy vehicles and an export volume of 550,000 to 660,000 vehicles. The report states that Great Wall Motor expects its net profit to increase by 77% to 85% year-on-year last year, to 12.4 billion to 13 billion Chinese yuan, which means a net profit of 2 billion to 2.6 billion Chinese yuan in the fourth quarter, slightly lower than the already lowered market forecast of about 2.5 billion Chinese yuan. This is believed to be possibly related to year-end employee bonuses, rebates to dealers, and foreign exchange losses. The bank estimates that the overall impact of these factors is approximately 3 billion Chinese yuan.