Zhi Tong Cai Jing·2025-09-12 06:16Core Viewpoint - China Galaxy Securities initiates coverage on Harmony Auto, giving it a "Buy" rating, with projected revenues and profits for 2025-2027 indicating strong growth potential [1] Group 1: Financial Projections - Expected revenues for Harmony Auto are projected at 28.103 billion yuan, 38.488 billion yuan, and 44.961 billion yuan for 2025, 2026, and 2027 respectively [1] - Corresponding net profits are forecasted to be 61 million yuan, 243 million yuan, and 416 million yuan for the same years [1] - The estimated earnings per share (EPS) are 0.04 yuan, 0.16 yuan, and 0.27 yuan for 2025, 2026, and 2027 respectively [1] - The reasonable per-share value range is set between 3.28 yuan and 4.11 yuan, translating to a market capitalization range of 4.993 billion yuan to 6.257 billion yuan [1] Group 2: Company Overview - Harmony Auto is a leading pure luxury and ultra-luxury automotive dealership group in China, representing 14 luxury and ultra-luxury brands [2] - The company ranks 26th in the top 100 automotive dealers in China for 2024, with total revenue of 17.067 billion yuan and total vehicle sales of 48,000 units [2] - Harmony Auto entered the new energy vehicle sector in 2015 and has established strategic partnerships with Tencent and Foxconn [2] Group 3: Strategic Partnerships and Market Expansion - In 2023, Harmony Auto partnered with BYD to establish sales channels in Asia and Europe, focusing on new energy vehicles and exports [2][3] - The company has demonstrated strong dealership capabilities, rapidly expanding its presence in the Asia-Pacific, Europe, and Oceania regions [3] - By 2025, Harmony Auto plans to open its 100th store in Melbourne, showcasing its effective channel construction capabilities [3] Group 4: Future Outlook - BYD's technological advancements, such as blade batteries and CTB, are gaining global recognition, with expectations of exporting 1 million vehicles by 2025 [4] - Harmony Auto is anticipated to contribute 7-8% of sales through its channels in the Asia-Pacific, Europe, and Oceania regions [4]