Daiwa: Expects the stock price of Contemporary Amperex Technology (CATL) to rise in the next 15 days, optimistic about its cost pass-through ability.

Morgan Stanley released a report, expecting that the stock price of Contemporary Amperex Technology Co. Limited will increase relative to the industry average in the next 15 days, with a probability of about 70% to 80%, and a rating of "accumulate," with a target price of 490 Hong Kong dollars. The report pointed out that CATL's recent stock price has experienced a pullback, making its short-term valuation more attractive. The bank believes that the market is overly concerned about the pressure of cost inflation on the company's profit margins, and that these costs will eventually be passed on. CATL has proven its ability to pass on costs in the previous lithium price upcycle, and is expected to resume production of lithium mines in the short term. At the same time, the company still has sufficient low-cost inventory for the first quarter of 2026.