Goldman Sachs: Lowers Contemporary Amperex Technology (03750) target price to HK$859, maintains "Buy" rating.

Goldman Sachs issued a research report stating that it has lowered the H-share target price of Contemporary Amperex Technology (03750) to HK$859, maintaining a "Buy" rating. The bank expects the company's third-quarter net profit to reach RMB 24 billion, a year-on-year increase of 30%, mainly driven by strong sales volume of 260GWh, but unit net profit is expected to decline to approximately RMB 93 per kWh. The bank lowered its earnings per share forecasts for Contemporary Amperex Technology from 2026 to 2028 by 1% to 2%, reflecting higher sales volume offset by more prudent unit margin assumptions. The bank expects that the main variables in the third quarter will be the proportion of energy storage systems, impairment losses on raw material inventory, and whether the reinstated battery consumption tax can be passed on.