HK Stock Market Move | LEAPMOTOR (09863) rises by over 4% and breaks through the ceiling, achieving positive net profit for the first half of the year. Citi raises target price to 100 Hong Kong dollars.

LEAPMOTOR (09863) rose over 4%, reaching a high of 71.65 Hong Kong dollars, a new high for the company. As of the time of writing, it has risen 4.33% to 71.1 Hong Kong dollars, with a trading volume of 1.43 billion Hong Kong dollars. On the news front, LEAPMOTOR announced its mid-term performance for 2025, with revenue of 24.25 billion yuan, an increase of 174.0% year-on-year. The gross profit margin is 14.1%, an increase of 13 percentage points compared to the same period in 2024. The net profit attributable to equity holders of the company is 33.03 million yuan, turning losses into profits year-on-year. In addition, in July 2025, the company's delivery volume reached a new high of 50,129 units, ranking first in the sales volume of China's new energy brands for 5 consecutive months and becoming the only new energy brand company in China with a monthly delivery volume of over 50,000 units since 2025. JP Morgan stated that while it had already expected strong performance from LEAPMOTOR in the second quarter of 2025, the actual profit was double what was expected. Since the beginning of the year, LEAPMOTOR's stock price has risen by 109% (compared to 20% for the MSCI China Auto Index). JP Morgan predicts an 85% year-on-year increase in sales in 2026, leading to a further increase in LEAPMOTOR's stock price. They have raised LEAPMOTOR's target price at the end of June 2026 to 95 Hong Kong dollars and maintain a "buy" rating. Citigroup pointed out that they are observing LEAPMOTOR's 90-day catalyst for an upward trend, based on the increase in sales volume, gross profit margin, and net profit. They have raised the target price from 86.4 Hong Kong dollars to 100 Hong Kong dollars (equivalent to a forecasted P/E ratio of 29.5 for 2026) and maintain a "buy" rating.