HTSC·2025-10-31 06:49Investment Rating - The report maintains an investment rating of "Buy" with a target price of RMB 136.93 [2][9][12] Core Insights - The report highlights the company's core technological upgrades and the resonance of overseas demand as key growth drivers [1] - The company achieved a revenue of RMB 195 billion in Q3, with a year-on-year increase of 13% for the first three quarters [5][6] - The report emphasizes the improvement in single-vehicle profitability and ongoing internal cost reduction efforts [6][7] - The company has seen a significant increase in overseas sales, with a year-on-year growth of 144% in Q3 [7][8] - The report discusses the continuous breakthroughs in intelligent driving and high-end product offerings, which are expected to enhance brand strength [8] Financial Performance Summary - For 2024, the company is projected to achieve a revenue of RMB 777 billion, with a year-on-year growth of 29.02% [4] - The net profit attributable to the parent company is expected to be RMB 40 billion in 2024, reflecting a growth of 34% [4] - The report forecasts a decline in net profit for 2025 to RMB 35 billion, a decrease of 13.13% [4] - The earnings per share (EPS) is projected to be RMB 4.42 in 2024, decreasing to RMB 3.84 in 2025 [4] Sales and Market Expansion - The company sold 1.14 million new vehicles in Q3, with a slight decrease of 2% year-on-year [6] - The average selling price (ASP) per vehicle is estimated at RMB 140,000, showing a slight increase [6] - The report notes that the company has expanded its product coverage to over 110 countries, with exceptional performance in the European market [7][8] Technological Advancements - The company has sold over 1.7 million assisted driving vehicles, leveraging a large user base to enhance its driving algorithms [8] - The report highlights the launch of the new high-end SUV model, Tengshi N8L, which is expected to achieve monthly sales of 3,000 to 5,000 units [8] Valuation and Market Position - The report adjusts the target price to RMB 136.93 based on a segmented valuation approach, reflecting the company's leading position in the passenger vehicle market [9][12] - The automotive business is valued at a 60% premium compared to comparable companies, indicating strong competitive advantages [9][12]