BYD's H shares hit a new record high, with institutions raising the target price to HKD 727

BYD Company Limited (01211.HK) continued its strong performance today, hitting a record high of HKD 464.20 during intraday trading. As of the time of writing, the stock was up 3.51%, trading at HKD 460.20.

Judging from the stock price trend chart, BYD Company Limited has continuously broken through historical highs in recent days, driven by three major positive factors:

The first is the better-than-expected growth in performance. In Q1 2025, BYD's net profit reached RMB 9.155 billion, up 100.4% YoY; sales increased 59.81% YoY to 1.0008 million units. In 2024, the company's annual revenue was RMB 777.1 billion, net profit was RMB 40.25 billion, and R&D investment was RMB 54.2 billion, all hitting record highs.

On the sales side, production and sales data for April 2025 showed that NEV sales reached 380,100 units, up 21.34% YoY. From January to April, cumulative sales were 1.3809 million units, up 46.98% YoY.

The second is the accelerated implementation of the globalization strategy. According to relevant data, BYD performed outstandingly in the Singapore market, with sales of 3,002 units in the first four months and a market share of 20%, surpassing Toyota. Overseas factories in Brazil, Thailand, and other places have commenced production, with exports reaching 206,100 units in Q1, accounting for 20.59% of total sales. In 2024, global sales reached 4.27 million units, up 41% YoY.

The last is the positive impact on funding. According to the quarterly review results announced by Hang Seng Indexes Company, BYD Company Limited was added to the Hang Seng Tech Index, with the change taking effect from June 9. According to CICC's estimates, the newly included BYD Company Limited is expected to receive approximately US$2 billion in passive capital inflows over about 2.7 days.

How do institutions view BYD?

Citi once again raised its target price for BYD in its report, stating that the export landscape of Chinese passenger vehicles in the first four months of this year further favors BYD. Analysts including Jeff Chung stated in the report that BYD's market share in pure electric vehicle exports surged from 23% in FY2024 to 38% in the first four months of FY2025. The growth in China's plug-in hybrid vehicle exports is astonishing, and a market consensus has yet to form.

They also pointed out that BYD has the strongest ability to cope with potential price reductions in 2026. BYD is on track to achieve its export target of 800,000 to 1 million units in FY2025. Citi raised its target prices for BYD's Hong Kong-listed shares and A-shares to HKD 727 and RMB 669, respectively, having previously raised the target price for the stock in February.