Bank of America Securities: Expects Contemporary Amperex Technology (03750) to increase its domestic market share in the fourth quarter and maintains a target price of 605 Hong Kong dollars.

Bank of America Securities released a research report stating that industry data shows that Contemporary Amperex Technology (03750) had a battery installed capacity of 35.5 gigawatt-hours in China in September, a year-on-year increase of 46%. During the same period, its market share in the domestic market was 42.2%, unchanged from the previous year, with a slight decrease of 0.1 percentage points on a month-on-month basis. The company's international market share during the period was 35%, down 2 percentage points year-on-year and 1 percentage point quarter-on-quarter, ranking first globally. The Bank maintains a "buy" rating on Contemporary Amperex Technology with a target price of HK$605 for its H-shares and a target price of RMB 495 for its A-shares (300750.SZ). Contemporary Amperex Technology plans to have a production output of 74.5 gigawatt-hours in November, a year-on-year increase of 38% and a month-on-month increase of 1%. The Bank believes that the data is robust, reflecting the continuous strong demand for electric vehicles and energy storage batteries. It is expected that the company's domestic market share in the fourth quarter will increase quarterly, mainly due to the increase in shipments of vehicle models supplied by Ningde, which is the main battery supplier.