Investment Rating - The report assigns a "Buy" rating for the company with a target price of HKD 26.6, indicating a potential upside of 48.7% from the current price of HKD 17.86 [3][5]. Core Insights - The company is entering a strong new vehicle cycle supported by the launch of its new intelligent driving system "Qianli Haohan," which includes various levels of autonomous driving capabilities [2][5]. - The integration of brands and improved operational efficiency is expected to enhance profitability, with projections indicating that the combined sales of the Zeekr and Lynk & Co brands will exceed 1 million units by 2026 [5]. - The new GEA architecture is set to support the launch of multiple new models in 2025, with expected sales reaching 2.71 million units, including over 1.5 million electric vehicles [5]. Financial Summary - Revenue is projected to grow from RMB 179.2 billion in 2023 to RMB 395.2 billion by 2026, reflecting a compound annual growth rate (CAGR) of approximately 24.7% [3][6]. - Net profit is expected to increase significantly from RMB 5.8 billion in 2023 to RMB 17.9 billion in 2026, with a notable peak of RMB 14.4 billion in 2024 [3][6]. - Earnings per share (EPS) is forecasted to rise from RMB 0.51 in 2023 to RMB 1.78 in 2026, indicating strong growth potential [3][6]. Market Position and Strategy - The company is focusing on enhancing its product lineup and operational efficiency through brand integration, which is expected to reduce overlapping models and improve cost management [5]. - The introduction of the new intelligent driving system is anticipated to cover over 150,000 vehicles, positioning the company competitively in the autonomous driving market [5]. - The strategic focus on electric vehicles and new energy architectures is expected to drive future growth and market share expansion [5].

Investment Rating - The report maintains a "Buy" rating for the company with a target price raised to HKD 22.0, indicating a potential upside of 23% from the current price [1][4][8]. Core Insights - The company has launched the "Qianli Haohan" intelligent driving system, which is expected to enhance product sales and reshape valuation through its multiple AI-driven initiatives [1][4]. - February sales saw a year-on-year increase of 83.9%, with total sales reaching 205,000 vehicles, while cumulative sales for January and February rose by 45.2% [2]. - The company has completed a comprehensive AI-driven layout, including smart architecture, intelligent cockpit, smart energy solutions, and the establishment of a "Smart Car Computing Power Alliance" [3]. Summary by Sections Sales Performance - In February, the company sold 205,000 vehicles, marking an 83.9% year-on-year increase and a 23.2% decrease month-on-month. Cumulative sales for January and February reached 472,000 vehicles, up 45.2% year-on-year [2]. AI and Intelligent Driving Initiatives - The "Qianli Haohan" system features five levels of performance planning, with advanced capabilities such as highway NOA and urban commuting NOA. The system aims to promote intelligent driving technology and safety equity [4]. - The company has developed a self-research AI Drive model and integrated various AI technologies into its manufacturing and operational processes [3]. Financial Projections - The report projects sales revenue to grow from RMB 147.965 billion in FY2022 to RMB 288.745 billion in FY2025, with a compound annual growth rate (CAGR) of 34% from FY2023 to FY2025 [5][12]. - Net profit is expected to increase significantly, with projections of RMB 15.779 billion in FY2024 and RMB 13.774 billion in FY2025, reflecting a 197% growth in FY2024 [5][12]. Market Position and Valuation - The company is positioned as a leader in the Chinese automotive industry, with a market capitalization of approximately HKD 1,803.49 million and a significant shareholder structure led by Li Shufu [8][9]. - The report highlights a strong relative performance over the past year, with a 111.96% absolute return [9].

Investment Rating - The report maintains a "Buy" rating for Geely Automobile [3][4]. Core Insights - Geely Automobile is advancing its smart driving capabilities through partnerships, launching the "Qianli Haohang" intelligent driving system, which will be integrated into new and updated models [1]. - The company is focusing on enhancing its electric vehicle lineup, with the new E8 model priced between 149,800 and 198,800 RMB, expected to drive demand [2]. - The integration of the LEVC Geely Yizhen brand into the Geely Galaxy brand aims to streamline operations and improve efficiency [2]. Financial Projections - Expected net profits for 2024-2026 are projected at 16.42 billion, 14.10 billion, and 17.45 billion RMB respectively, with EPS of 1.63, 1.40, and 1.73 RMB [3]. - Revenue forecasts for 2024-2026 are 224.78 billion, 289.69 billion, and 338.83 billion RMB, reflecting growth rates of 25.4%, 28.9%, and 17.0% [3][6]. - The report indicates a significant increase in net profit for 2024, with a projected growth rate of 209.3% [3]. Product Development - The "Qianli Haohang" system will feature various levels of intelligent driving capabilities, with the H1 model supporting highway NOA and automatic parking, while the H9 model will offer advanced L3 architecture [1]. - The new Galaxy series models will be equipped with the H1 system, with future models expected to adopt the H9 system [2]. Market Positioning - The report suggests that Geely's focus on smart technology and electric vehicles will enhance its market position and drive sales growth [1][2].

Investment Rating - The investment rating for Geely Automobile (175 HK) is "Buy" with a target price of 18.50 HKD, indicating a potential upside of 3.4% from the closing price of 17.90 HKD as of March 3, 2025 [3][4]. Core Insights - Geely's AI Smart Technology Conference marked 2025 as the "Year of AI+Car," signifying a shift from "Car+AI" to "AI+Car," focusing on AI as the core of automotive transformation [2]. - The launch of the "Qianli Haohan" intelligent driving system, which includes five versions (H1 to H9) with capabilities ranging from basic assistance to full L3 autonomous driving, aims for mass production in the year [2]. - Geely's strategy emphasizes "safety equity," aiming to democratize high-level intelligent driving across all vehicle price segments, contrasting with competitors like BYD and Changan [2]. Summary by Sections AI and Intelligent Driving - Geely's new intelligent driving system, "Qianli Haohan," will be integrated into models like the Galaxy and China Star, with the H9 version being the first L3 autonomous driving solution ready for mass production [2]. - The system boasts a minimum of 100 TOPS computing power for the H1 version, with the H3 version set to feature urban driving capabilities [2]. Technological Trends - The conference highlighted three key technological trends: superhuman-machine interaction, integration of autonomous driving with execution, and the elevation of connected vehicle models [2]. - Collaborations with partners like Jieli Technology aim to enhance data generation for extreme driving scenarios and improve voice interaction experiences [2]. New Model Launches - The 2025 Galaxy E8 was launched with a promotional price range of 149,800 to 198,800 RMB, which is 16,000 RMB lower than the previous model [2]. - The new model features advanced technology, including a 45-inch 8K display and a Qualcomm Snapdragon 8295 chip, enhancing the user experience [2]. Competitive Positioning - Geely's strategic focus on in-house capabilities aims to reduce reliance on external suppliers, enhancing its competitive edge in the intelligent vehicle market [2]. - The company plans to leverage its Agent OS cockpit operating system for cross-domain collaboration and personalized experiences [2].

Investment Rating - The report assigns a "Buy" rating to Geely Automobile (175 HK) with a target price of 18.50 HKD, indicating a potential upside of 3.4% from the closing price of 17.90 HKD as of March 3, 2025 [3][4]. Core Insights - Geely Automobile's AI Smart Technology Conference marked the beginning of the "AI+Car" era, transitioning from "Car+AI" to "AI+Car," emphasizing AI as the core of automotive transformation [2]. - The company introduced the "Qianli Haohan" intelligent driving system, which includes five versions (H1 to H9) that cover functionalities from basic assistance to full-scenario L3 autonomous driving, with plans for mass production in the current year [2]. - Geely aims to democratize high-level intelligent driving capabilities across all price segments, promoting the concept of "safety equality" [2]. Summary by Sections AI and Technology Strategy - The report highlights three technological trends presented by Qianli Technology's chairman: superhuman-machine interaction, integration of autonomous driving and execution, and the elevation of connected vehicle models [2]. - Geely's collaboration with partners like Jiyue Xingchen aims to enhance AI applications and reduce barriers for developers through an open-source strategy [2]. Product Launches - The 2025 Geely Galaxy E8 was officially launched with a promotional price range of 149,800 to 198,800 RMB, which is 16,000 RMB lower than the previous model [2]. - The new model features advanced technology, including a 45-inch 8K display and a Qualcomm Snapdragon 8295 chip, along with an upgraded intelligent driving perception system [2]. Competitive Positioning - Geely's recent announcements are seen as a response to competitors like BYD and Changan, emphasizing its systematic capabilities and platform advantages while minimizing reliance on external suppliers [2].

Investment Rating - The report maintains a "Buy" rating for Geely Automobile [3][4]. Core Viewpoints - Geely is advancing its smart driving capabilities through partnerships, launching the "Qianli Haohang" intelligent driving system, which will be integrated into new and updated models, enhancing product sales and valuation [1][2]. - The introduction of the new E8 electric sedan and the Starry 8 hybrid sedan is expected to drive demand, with promotional pricing strategies in place [2]. - The upgrade of the Galaxy series into the Geely Galaxy brand aims to streamline operations and improve overall efficiency within the group [2]. Financial Forecasts - Projected net profits for 2024-2026 are 16.42 billion, 14.10 billion, and 17.45 billion RMB, respectively, with corresponding EPS of 1.63, 1.40, and 1.73 RMB [3][6]. - Revenue is expected to grow from 179.20 billion RMB in 2023 to 338.83 billion RMB by 2026, reflecting a compound annual growth rate of approximately 28.9% [3][6]. - The report anticipates a significant increase in profitability, with net profit growth rates of 209.3% in 2024, followed by a decrease of 14.1% in 2025, and a rebound of 23.7% in 2026 [3][6]. Product Development - The "Qianli Haohang" intelligent driving system will feature multiple levels of capabilities, including advanced parking and full-scene driving support, with a focus on affordability for high-end solutions [1]. - The new models, including the E8 and Starry 8, are equipped with the latest technology and are priced competitively to stimulate market interest [2]. Strategic Initiatives - The integration of the LEVC Geely Yizhen brand into the Galaxy series is part of a broader strategy to enhance brand focus and operational synergy [2]. - The company is positioning itself to capitalize on the growing demand for electric and hybrid vehicles, aligning with industry trends towards sustainability and innovation [2].

Investment Rating - The report maintains a "Strong Buy" rating for Geely Automobile, expecting it to outperform the benchmark index by over 20% in the next six months [2][19]. Core Views - Geely's AI technology conference on March 3 showcased its advanced intelligent driving system "Qianli Haohan" and highlighted the company's strategic advancements in AI [2]. - The company is accelerating its transformation towards smart technology, with plans to enhance human-machine interaction, fully implement autonomous driving, and elevate vehicle networking capabilities [9]. - Geely's sales and operational performance are projected to grow rapidly in the coming years, supported by its electric vehicle strategy and product enhancements [9]. Financial Summary - **Revenue Forecast**: - 2023: 179,204 million CNY - 2024E: 245,193 million CNY (growth of 36.8%) - 2025E: 307,205 million CNY (growth of 25.3%) - 2026E: 365,715 million CNY (growth of 19.0%) [5][10] - **Net Profit Forecast**: - 2023: 5,308 million CNY - 2024E: 16,481 million CNY (growth of 216.4%) - 2025E: 13,636 million CNY (decline of 17.4%) - 2026E: 17,052 million CNY (growth of 25.3%) [5][10] - **Earnings Per Share (EPS)**: - 2023: 0.53 CNY - 2024E: 1.64 CNY - 2025E: 1.35 CNY - 2026E: 1.69 CNY [5][10] - **Valuation Ratios**: - Price-to-Earnings (P/E) ratio for 2024E: 10.1x - Price-to-Book (P/B) ratio for 2024E: 1.7x [5][10] Target Price - The target price for Geely is set between 22.0 and 29.4 HKD, with a potential upside of 23% to 48% based on the company's historical valuation levels and recent market performance [6][9].

Investment Rating - The report maintains a "Recommended" rating for the company [4] Core Insights - The company reported a total wholesale sales volume of 205,000 vehicles in February, representing a year-on-year increase of 83.9% and a month-on-month decrease of 23.2% [2] - The penetration rate of new energy vehicles reached 48.0% in February, with a total of 98,433 new energy vehicles sold, marking a year-on-year increase of 193.8% [1][2] - The company aims to challenge a sales target of 1 million vehicles by 2025, focusing on cost reduction and scaling up its new energy business [2][3] - The establishment of Zeekr Technology Group, following the acquisition of a 51% stake in Lynk & Co, is expected to enhance strategic focus and operational efficiency [3] - The company is accelerating its integration of AI technologies to boost product sales and reshape its valuation [3] Financial Forecasts - Revenue projections for 2024-2026 are estimated at 224.78 billion, 289.69 billion, and 338.83 billion RMB, respectively, with net profits of 16.42 billion, 14.10 billion, and 17.45 billion RMB [4][5] - The expected EPS for the same period is 1.63, 1.40, and 1.73 RMB, corresponding to P/E ratios of 10, 12, and 9 times [4][5] - The company anticipates a significant increase in net profit in 2024, with a projected growth rate of 209.3% [5]

Investment Rating - The report maintains a "Recommended" rating for the company [4] Core Insights - The company reported a total wholesale sales volume of 205,000 vehicles in February, representing a year-on-year increase of 83.9% and a month-on-month decrease of 23.2% [2] - The penetration rate of new energy vehicles reached 48.0% in February, with new energy sales of 98,433 vehicles, a year-on-year increase of 193.8% [1][2] - The company plans to launch five new energy models to strengthen its position in the market segment priced below 200,000 RMB, aiming for a sales target of 1 million vehicles by 2025 [2][3] - The establishment of Zeekr Technology Group aims to enhance strategic focus and resource integration, targeting a total sales volume of 710,000 vehicles by 2025 [3] - The company is accelerating its smart technology integration, with plans to release a comprehensive AI strategy and new models featuring advanced AI capabilities [3] Financial Projections - Revenue projections for 2024-2026 are 224.8 billion RMB, 289.7 billion RMB, and 338.8 billion RMB respectively, with net profits of 16.4 billion RMB, 14.1 billion RMB, and 17.4 billion RMB [4][5] - The expected EPS for 2024-2026 is 1.63 RMB, 1.40 RMB, and 1.73 RMB, corresponding to P/E ratios of 10, 12, and 9 respectively [4][5] - The company anticipates a significant increase in net profit in 2024, with a projected growth rate of 209.3% [5]

Investment Rating - The report maintains a "Buy" rating for Geely Automobile [1] Core Views - Geely Automobile is positioned to enter a new growth phase in the smart electric vehicle era, with its technology foundation and brand structure ready for expansion [7][40] - The company aims to achieve a sales target of 1 million units by 2025, supported by the launch of new models and a focus on resource integration [7][40] Summary by Sections Strategic Focus - The "Taizhou Declaration" marks a new strategic phase for Geely, emphasizing resource integration and optimization of business structures [10][14] - The company plans to enhance its competitive edge through a three-pronged transformation strategy: organizational culture, competitiveness, and management model [18] Galaxy Division - Geely aims to align with industry leaders and achieve significant scale by 2025, focusing on the mainstream new energy market [23][31] - The company has faced challenges in its transition to new energy vehicles, particularly in the plug-in hybrid segment, but is now positioned for a scale effect [23][31] Zeekr & Lynk & Co - The integration of Zeekr and Lynk & Co is aimed at enhancing brand positioning and resource sharing, with a focus on high-end luxury electric vehicles [19][21] - Both brands are expected to see significant sales growth, entering a critical period for profitability [19][21] Technology and Innovation - Geely has developed a comprehensive AI technology system for smart vehicles, with plans to enhance self-driving capabilities by 2025 [4][21] - The company is advancing its hybrid technology, with the EM-I system expected to compete effectively against rivals like BYD [32][36] Financial Projections and Investment Recommendations - The report revises profit forecasts for Geely, projecting net profits of 16.013 billion, 14.046 billion, and 18.838 billion for 2024, 2025, and 2026 respectively [4][7] - The company is expected to enter a new growth cycle as new models are launched, maintaining a "Buy" rating [7][40]