比亚迪，突发！

Core Viewpoint - BYD's stock has experienced significant declines, with H-shares dropping over 3% and A-shares down 2.56% amid rumors of financial issues with a dealer group in Shandong [1][2]. Group 1: Dealer Issues - Reports surfaced regarding financial problems at the Jinan Qiancheng Automobile Trading Co., a dealer group for BYD, attributed to reckless expansion and leveraged operations [2]. - BYD responded to these rumors, stating that the information is untrue and that they have been consistent in their dealer policies over the years [2]. - The company is providing support to the troubled dealer group to help manage customer and employee issues [2]. Group 2: Price War in the Automotive Market - A renewed price war in the automotive sector is evident, with BYD announcing limited-time subsidies on 22 models, including significant price cuts on the Seal 07 DM-i and Qin PLUS DM-i [4]. - Other manufacturers, such as Changan and Geely, have also initiated price reductions on their models, indicating a trend across the industry [4]. - The price war is expected to compress profit margins for suppliers, with reports indicating that profit margins have shrunk to 10% and payment terms extended to 120 days [4]. Group 3: Market Dynamics and Analyst Insights - Analysts from Citigroup and Morgan Stanley have noted that the price cuts signal significant pressure in the terminal market, driven by economic downturn and weak demand [5]. - Concerns have been raised regarding the impact of these price reductions on companies' profitability and gross margins [5].