CICC: Initiates coverage on Chery Automobile (09973) with an outperform rating, target price of 42.00 Hong Kong dollars.

According to the Securities Times app, China International Capital Corporation (CICC) has released a research report stating that it is giving a outperform rating to Chery Auto (09973) for the first time, with a target price of HK$42.00. The current stock price is HK$26, at a 7x P/E ratio. Based on comparable valuation, the corresponding valuation multiple is 10x P/E for 2026, indicating a 35% upside potential. The company is a leading Chinese independent car manufacturer, with export and new energy transformation accelerating. It is expected that the company's EPS for 2025-2026 will be 3.32/3.88 yuan, with a CAGR of 22% from 2024 to 2026. The market is paying attention to the company's export performance, and the bank suggests that the company's new energy transformation, traditional oil car, and export businesses are all showing steady development.