BOCOM INTL: Maintains a "neutral" rating on LI AUTO-W (02015) with a target price of 80.84 Hong Kong dollars.

BOCOM INTL released a research report stating that it maintains a target price of 80.84 Hong Kong dollars for LI AUTO-W (02015) and a "neutral" rating. In the third quarter, Ideal Auto experienced losses due to recalls, and short-term rebound was limited by supply chain bottlenecks. The group expects to launch a major redesign of the L series next year, and plans to reshape its product competitiveness by combining its self-developed M100 chipset with an end-to-end AI system. The management also clearly stated that they will increase strategic investment in in-vehicle intelligence and autonomous driving. The bank believes that the recovery of Ideal Auto's stock price will depend on the progress in solving supply chain issues in the fourth quarter and the actual sales realization brought by the increase in i6/i8 production capacity, as well as whether the L series redesign next year can increase the company's market share in the extended range market. They also believe that if there are specific landing products for AI and in-vehicle intelligence next year, it could have a boosting effect on the group's stock price.