Changjiang Securities·2024-09-17 02:11Investment Rating - The investment rating for BYD is "Buy" and is maintained [6]. Core Views - On September 10, 2024, BYD announced that several executives and key personnel purchased a total of 142,000 shares, amounting to 35.4536 million yuan, reflecting management's confidence in the future of the new energy industry and the company's development [2][5]. - The increase in shareholding by management is expected to improve market sentiment and enhance investor confidence [5]. - The company is entering a new product cycle with accelerated sales growth, driven by new vehicles and technologies [5]. - BYD's export volume reached 106,000 units in Q2 2024, a year-on-year increase of 196.6% and a quarter-on-quarter increase of 7.8% [5]. - The company anticipates continued growth in sales as production capacity for the DM5.0 model is released, with new high-end models set to launch in the latter half of the year [6]. Summary by Sections Management Confidence - Multiple executives and core personnel increased their holdings in BYD, demonstrating confidence in the company's future amidst a strong product cycle and the accelerating penetration of new energy vehicles [2][5]. Sales and Production - The company is expected to see a significant increase in sales due to the release of DM5.0 production capacity and the introduction of new high-end models [5][6]. - The sales of high-end models such as the Fangchengbao, Yangwang, and Tengshi increased by 37.5% year-on-year and 16.3% quarter-on-quarter [5]. Financial Projections - BYD's projected net profit for 2024-2026 is 38.5 billion, 51.1 billion, and 65 billion yuan, respectively, with corresponding price-to-earnings ratios of 19.5X, 14.7X, and 11.6X [6].