Haitong has given GEELY AUTO (00175) a "outperform the market" rating with a fair value range of HKD 16.38-20.48.

Haitong released a research report stating that it believes GEELY AUTO (00175) has a relatively reasonable and clear brand architecture. With the gradual implementation of the "Smart Geely 2025" strategy, the company's overall revenue and net profit attributable to shareholders are expected to continue to grow. The bank predicts that the company's net profit attributable to shareholders from 2024 to 2026 will be 16.55 billion yuan, 12.87 billion yuan, and 17.51 billion yuan respectively, with EPS of 1.64 yuan, 1.28 yuan, and 1.74 yuan. It gives a PE ratio of 12-15 times to 2025, corresponding to a reasonable value range of 16.38-20.48 Hong Kong dollars (as of March 3, 2025, based on 1 Hong Kong dollar = 0.9376 RMB), and a "outperform" rating is given. Sales in February 2025 reached 204,910 units, a strong increase of about 84% year-on-year: GEELY AUTO's sales in February 2025 reached 204,910 units, a strong increase of about 84% year-on-year, marking the sixth consecutive month with sales exceeding 200,000 units. Among them, sales of new energy vehicles reached 98,433 units, a strong increase of about 194%, accounting for over 48%. Geely brand sales in February reached 173,633 units, a year-on-year increase of over 91%, with sales of Galaxy series reaching 76,132 units, a year-on-year increase of about 288%; Lynk brand sales in February reached 17,238 units, a year-on-year increase of over 30%, with new energy vehicle sales accounting for about 48%; and Zeekr brand deliveries in February reached 14,039 units, a year-on-year increase of about 87%. Galaxy boundless, safety in equality: On March 3, 2025, GEELY AUTO held an AI intelligent technology press conference, announcing that GEELY AUTO has become the only global car company to complete a comprehensive layout of AI intelligence, and also released the Li Haohan high-level intelligent driving system. It is not only at the forefront of the industry in intelligent driving, but will also be fully equipped in Geely Galaxy's new and refurbished products, achieving widespread adoption of advanced safety and intelligent driving. Risk warning: Risks include new car sales risk, price war risk, and raw material price increase risk.