"A+H" accelerates globalization, Chongqing Sokon Industry Group Stock (09927) valuation reconstruction releases long-term value.

For targets with high prospects, valuation retracement often brings investment opportunities for bargain hunting. It is understood that Chongqing Sokon Industry Group Stock (09927) entered the Hong Kong stock market in early November, becoming the largest Chinese automotive company IPO in history, as well as the largest automotive company IPO globally this year. However, the listing coincided with a retracement in the Hong Kong A-share automotive sector, leading to a pullback under fund selling pressure. However, after the fifth trading day, it continued to attract value investment funds and quickly rebounded. This short-term valuation retracement attracted many long-term funds to bottom fish. In fact, Chongqing Sokon Industry Group Stock is a global leading luxury new energy track car company, with its WENDE brand sales ranking among the top three new forces, offering models such as M5/M7/M8/M9, with the M8 averaging over 400,000 yuan and the M9 over 500,000 yuan. The two models are at the forefront in the same price range market, with M8 delivering over 100,000 units in the first five months of its listing, with monthly sales stable at over 20,000 units, solidly leading the industry in the high-end track. The company has shown strong performance, with a compound annual growth rate of 123.46% for WENDE brand sales from 2022 to 2024, driving overall revenue growth at 106.42%. In 2025, due to product cycles and the high base effect, there may be some impact, but entering a new cycle in 2026 is expected to drive high growth in sales and revenue for the company. At the same time, the company is one of the few profitable new energy vehicle companies, with operating revenue of 110.534 billion yuan and a net profit attributable to shareholders of 5.312 billion yuan in the first three quarters of 2025, a year-on-year increase of 31.56%. The success of Chongqing Sokon Industry Group Stock can be attributed not only to the empowerment from Huawei but also to the company's emphasis on self-researched investments. It has four leading core technologies: the Magic Cube technology platform, leading in assisted driving experience and intelligent safety. The combination of self-researched technology bases and Huawei's technology empowerment enables the company to create models with solid materials and a leading level of intelligent driving, maintaining a stronger product competitiveness compared to its peers. Additionally, the company owns three super factories (Longsheng, Fenghuang, and Longxing) to meet market delivery demands for the WENDE brand. The A+H dual-listed status has not only attracted industry capital and value investment institutions but also will help accelerate R&D investment, retail layout, and globalization. Sticking to the strategy of going global is an important strategic decision for Chongqing Sokon Industry Group Stock to create a second growth curve. The global new energy vehicle market has a promising outlook, according to a report by Frost & Sullivan, with China's new energy vehicle penetration rate in the passenger car market reaching 48.9% by 2024, compared to 11.8% in regions outside China. By 2030, the penetration rates of new energy passenger cars in China, Europe, and North America are expected to reach 76.9%, 61.2%, and 34.4%, respectively. Based on its strong fundamentals and high development prospects, Chongqing Sokon Industry Group Stock has garnered positive views from various capital sources and has multiple capital endorsements, including central enterprises, Chongqing state-owned assets, industry capital, financial institutions, major investment institutions, and market value investors. In this H-share listing, the company introduced several cornerstone investment institutions, including the Chongqing Industrial Mother Fund, Linyuan Fund, Huatai Capital, GF Fund, and China Post Finances. The Hong Kong stock market is a haven for value investors and a main battlefield for institutional investors, attracting investors from around the world. The company's H-share provides a high-quality target for global investors, aiding in a restructuring of its valuation system. H-share is the beginning of globalizing the company's capital, strategically driving global expansion with capital, establishing a global high-end new energy Chinese brand business card, and becoming a successful example in the automotive capital markets. In conclusion, Chongqing Sokon Industry Group Stock is a target with long-term investment value. In the short term, it may be affected by various "trading noise," including macroeconomic factors, the automotive sector, and the automotive market environment. However, the valuation retracement may be a way to gather momentum. As a solid leader in the high-end new energy vehicle industry, the company's future is promising.