Summary of Contemporary Amperex Technology Co. Ltd. Conference Call Company Overview - **Company**: Contemporary Amperex Technology Co. Ltd. (300750.SZ) - **Industry**: China Energy & Chemicals - **Market Cap**: Rmb1,695,582 million - **Current Share Price**: Rmb373.20 (as of Nov 28, 2025) - **Price Target**: Rmb490.00, implying a 31% upside Key Financial Metrics - **Revenue Projections**: - 2025: Rmb410,628 million - 2026: Rmb500,706 million - 2027: Rmb612,448 million - **EBITDA**: - 2025: Rmb91,066 million - 2026: Rmb114,337 million - 2027: Rmb141,233 million - **Earnings Per Share (EPS)**: - 2025: Rmb15.38 - 2026: Rmb18.97 - 2027: Rmb23.75 - **P/E Ratios**: - 2025: 24.3 - 2026: 19.7 - 2027: 15.7 - **Free Cash Flow Yield**: 5.4% in 2025, projected to rise to 5.9% by 2027 Industry Insights - **China's Energy Storage System (ESS)**: - YTD cumulative winning bids reached approximately 290 GWh as of November, representing a 127% year-over-year increase - Monthly ESS winning bids showed volatility but indicated strong shipments expected in the next six months - High-quality ESS deployment is anticipated to gain market share Valuation Methodology - **Valuation Approach**: EV/EBITDA multiple of 17x for 2026E EBITDA, suggesting a 25x P/E for 2026E - **Earnings Growth**: Projected five-year earnings CAGR of 25%, consistent with historical PEG levels Risks - **Upside Risks**: - Faster-than-expected EV penetration and ESS application - Lower geopolitical risks - Better-than-expected margins - Higher-than-expected market share gains - **Downside Risks**: - Weaker EV penetration and ESS application - Competition from other battery manufacturers - Geopolitical risks affecting the battery supply chain Additional Notes - **Analyst Ratings**: The stock is rated as "Overweight" with a positive outlook on the industry being "In-Line" - **Market Dynamics**: The company is positioned well within the rapidly growing ESS market, with significant growth potential in the coming years This summary encapsulates the key points from the conference call, focusing on the company's financial outlook, industry trends, and associated risks, providing a comprehensive overview for potential investors.