CMB: Considers Weichai Power (02338.HK) as one of the preferred industrial stocks for next year, expected to have potential for revaluation, target price of HK$31.

According to the Securities Times APP, Morgan Stanley released a research report stating that Weichai Power (02338.HK) is considered one of the top picks for the industrial sector in 2026. They maintained a "buy" rating with a target price of 31 Hong Kong dollars. The bank pointed out that founder and former chairman Tan Xuguang announced his retirement in August 2024, causing concerns among investors that China National Heavy Duty Truck (03808.HK) and Weichai Power might strategically decouple. However, with the appointment of former senior executive Wang Zhijian as the chairman of China National Heavy Duty Truck and Weichai Power's parent company Shandong Heavy Industry Group at the end of last month, it is expected that the risk of strategic continuity between the leadership and the companies will be alleviated.