Lyon: BYD COMPANY (01211) Leading Technology Strategy Helps Regain Market Share, Reiterates "Highly Confident Outperform Market" Rating.

The Lyon report pointed out that BYD Company (01211) is returning to its expertise in economies of scale and comfort zone. The report believes that the introduction of disruptive fast charging technology and second-generation blade batteries will widen its technological lead over its peers. Given BYD Company Limited's leading capabilities in research and commercialization, the report estimates limited cost increases. The report reaffirms its "highly confident outperform the market" rating for BYD Company Limited, with a target price of 130 Hong Kong dollars. The report notes that industry cost inflation and weak demand indicate that car companies are approaching the edge of survival, so it is expected that BYD Company Limited's alternative pricing war (technology leading strategic war) strategy will help it regain market share lost last year, and pave the way for the report's optimism about BYD Company Limited's exports.