Latest news with #JohnsonWan
Business Insider
3 days ago
- Business
- Business Insider
XPeng, Inc. Class A (9868) Receives a Buy from Jefferies
In a report released today, Johnson Wan from Jefferies maintained a Buy rating on XPeng, Inc. Class A (9868 – Research Report), with a price target of HK$112.60. The company's shares closed yesterday at HK$76.35. Confident Investing Starts Here: According to TipRanks, Wan is ranked #3115 out of 9552 analysts. XPeng, Inc. Class A has an analyst consensus of Strong Buy, with a price target consensus of HK$111.09, a 45.50% upside from current levels. In a report released on May 23, DBS also maintained a Buy rating on the stock with a HK$118.00 price target.
Business Insider
5 days ago
- Automotive
- Business Insider
Jefferies Keeps Their Buy Rating on Li Auto, Inc. Class A (L87)
In a report released today, Johnson Wan from Jefferies maintained a Buy rating on Li Auto, Inc. Class A (L87 – Research Report), with a price target of HK$132.10. The company's shares closed last Tuesday at €12.43. Confident Investing Starts Here: Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter According to TipRanks, Wan is ranked #3165 out of 9551 analysts. Li Auto, Inc. Class A has an analyst consensus of Strong Buy, with a price target consensus of €14.49, which is a 16.57% upside from current levels. In a report released on May 15, J.P. Morgan also maintained a Buy rating on the stock with a HK$132.00 price target. The company has a one-year high of €15.92 and a one-year low of €7.99. Currently, Li Auto, Inc. Class A has an average volume of 5.
Yahoo
20-05-2025
- Automotive
- Yahoo
Wall Street Loves China's Battery Beast--Even the Pentagon Can't Stop It
Contemporary Amperex Technology Co. Ltd (CATL) just pulled off the biggest listing of the yearand did it with style. The Chinese battery leader's shares jumped 16% in their Hong Kong debut after raising $4.6 billion, a number that could climb to $5.3 billion with full allotment. The offering attracted massive interest from both institutional and retail investors, despite CATL being blacklisted by the Pentagon earlier this yeara move the company continues to deny relevance to. The stock opened at HK$263 and closed well above that, even trading higher than its Shenzhen counterparta rare feat for dual-listed Chinese names. CATL, the dominant force behind 38% of the global EV battery market, supplies Tesla (NASDAQ:TSLA), Volkswagen, Ford, and others. It's also stepping on the gas with new tech: batteries that can deliver over 500km of range in just five minutes of charging and up to 1,500km fully charged. That kind of leap, combined with a forward earnings multiple around 17x, has some analysts seeing upside potential of up to 50%. Jefferies' Johnson Wan noted the setup was a no-brainer buy, citing solid fundamentals, global tailwinds, and a fresh $7.6 billion earmarked for overseas expansionespecially into Europe, where margins are wider and demand is climbing. Options trading volume on day one topped 34,000 contracts, the highest in a decade for Hong Kong IPOs with listed options, and sentiment leaned heavily bullish. Backed by big names like Qatar Investment Authority and Hillhouse, CATL's listing could help revive Hong Kong's IPO scene, lifting total issuance above $22 billion for the year. JPMorgan and Bank of America, despite political pushback from a U.S. congressional committee, stayed on the dealsignaling confidence in CATL's growth story. Chairman Robin Zeng called the listing a milestone in its push for a zero-carbon future, while the broader market seems to agree: investors want in, and they're willing to look past the noise to bet on the next leg of the global EV race. This article first appeared on GuruFocus. Sign in to access your portfolio
Business Times
20-05-2025
- Automotive
- Business Times
CATL rises in Hong Kong trading debut in world's top listing in 2025
[HONG KONG] Contemporary Amperex Technology Co Limited (CATL) rose in its Hong Kong trading debut after the Chinese battery giant wrapped up the world's biggest listing this year by raising HK$35.7 billion (S$5.9 billion) despite being blacklisted by the Pentagon and grinding through geopolitical storms. Shares of CATL, as the largest maker of electric vehicle (EV) batteries is known, opened at HK$296 each on Tuesday (May 20), up 13 per cent from their listing price of HK$263. Strong demand had allowed the company to price the stock at the top marketed price, and the shares rose in grey-market trading on Monday. For investors, the allure of buying into a blue-chip stock at the forefront of EV technology outweighed the risks of getting caught up in the ongoing turbulence in Sino-US relations. The success of the stock offering, which may increase to US$5.3 billion if CATL exercises an option to do so, single-handedly doubled Hong Kong's proceeds from listings this year and could embolden other companies to go public. CATL is 'a true champion enabling the energy transition, a symbol of China's success as a global green leader', said Karine Hirn, a partner at East Capital Group. 'This will be met by enormous interest.' Priced at around 17 times current earnings multiples, CATL's Hong Kong shares have room to rise 50 per cent, driven by strong earnings and attractive valuations, said Johnson Wan, the head of China industrials research at Jefferies in Hong Kong. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'There is only a small slice of pie left for everyone else to buy,' he said. 'It's a no-brainer buy.' CATL supplies batteries to top-tier customers such as Tesla, Volkswagen, Ford Motor and Mercedes-Benz Group. It has a market share of roughly 38 per cent in electric-car batteries, comfortably ahead of its closest challenger, top EV maker BYD's 17 per cent, according to SNE Research. The Ningde, Fujian-based company generated sales of US$50 billion and net income of US$7 billion last year. And it plans to build on that, recently unveiling batteries that can charge 520 km of range in five minutes and up to 1,500 km on a full charge. The funding, much of it for a US$7.6 billion overseas expansion in Europe, will be used to fuel its growth outside China, where profit margins are juicier. Its continued growth has enriched its founders, top investors and executives, making them some of the wealthiest people in the world. Four Chinese businessmen, including chairman Robin Zeng, have amassed a combined fortune of more than US$73 billion – mainly derived from their stakes in the company – according to the Bloomberg Billionaires Index. CATL's rise has not come without obstacles. The company was put on a Pentagon blacklist in January based on allegations of CATL's links to the Chinese military – something the company has denied repeatedly. In April, a US congressional committee publicly called on JPMorgan Chase and Bank of America to stop working on the listing because of CATL's alleged military links – again, denied by the company. But both American banks stuck with the deal. The Chinese company's management has said CATL expects 'little impact' from the risk of US tariffs. That stands in stark contrast to a growing list of automakers from Toyota Motor to Stellantis and General Motors warning of billions in extra costs. CATL priced its Hong Kong stock at a smaller discount to its Shenzhen-traded shares, when compared with previous second listings: Appliance maker Midea Group last year sold its stock in its US$4.6 billion Hong Kong listing at a discount of about 20 per cent, while China Tourism Group Duty Freedid so at around 27.5 per cent in 2022. More broadly, Hong Kong shares typically trade at a 25 per cent discount to their stocks on the mainland, according to the Hang Seng Stock Connect China AH Premium Index. 'People like the fact that now you can get access to one of the best companies in China without having to go to A-shares,' said Eugene Hsiao, head of China equity strategy and China Autos at Macquarie Capital. 'I think this is why they did not have to come out with massive discounts. They knew the demand was there.' CATL will be the latest firm to go ahead with a share sale after US President Donald Trump's broad tariff rollout. Even before the latest 90-day pause on many of the tariffs, many Chinese companies had gone ahead with their listing plans as they sought cash from investors. CATL's share offering will help Hong Kong's market for listings this year surge to over US$22 billion, according to Bloomberg Intelligence. BLOOMBERG
Business Times
20-05-2025
- Automotive
- Business Times
CATL rises in Hong Kong trading debut after world's top listing in 2025
[HONG KONG] Contemporary Amperex Technology Co Limited (CATL) rose in its Hong Kong trading debut after the Chinese battery giant wrapped up the world's biggest listing this year by raising HK$35.7 billion (S$5.9 billion) despite being blacklisted by the Pentagon and grinding through geopolitical storms. Shares of CATL, as the largest maker of electric vehicle (EV) batteries is known, opened at HK$296 each oon Tuesday (May 20), up 13 per cent from their listing price of HK$263. Strong demand had allowed the company to price the stock at the top marketed price, and the shares rose in grey-market trading on Monday. For investors, the allure of buying into a blue-chip stock at the forefront of EV technology outweighed the risks of getting caught up in the ongoing turbulence in Sino-US relations. The success of the stock offering, which may increase to US$5.3 billion if CATL exercises an option to do so, single-handedly doubled Hong Kong's proceeds from listings this year and could embolden other companies to go public. CATL is 'a true champion enabling the energy transition, a symbol of China's success as a global green leader', said Karine Hirn, a partner at East Capital Group. 'This will be met by enormous interest.' Priced at around 17 times current earnings multiples, CATL's Hong Kong shares have room to rise 50 per cent, driven by strong earnings and attractive valuations, said Johnson Wan, head of China industrials research at Jefferies in Hong Kong. BT in your inbox Start and end each day with the latest news stories and analyses delivered straight to your inbox. Sign Up Sign Up 'There is only a small slice of pie left for everyone else to buy,' said Wan. 'It's a no-brainer buy.' CATL supplies batteries to top-tier customers such as Tesla, Volkswagen, Ford Motor and Mercedes-Benz Group. It has a market share of roughly 38 per cent in electric-car batteries, comfortably ahead of its closest challenger, top EV maker BYD's 17 per cent, according to SNE Research. The Ningde, Fujian-based company generated sales of US$50 billion and net income of US$7 billion last year. And it plans to build on that – recently unveiling batteries that can charge 520 km of range in five minutes and up to 1,500 km on a full charge. The funding, much of it for a US$7.6 billion overseas expansion in Europe, will be used to fuel its growth outside China, where profit margins are juicier. Its continued growth has enriched its founders, top investors and executives, making them some of the wealthiest people in the world. Four Chinese businessmen, including chairman Robin Zeng, have amassed a combined fortune of more than US$73 billion – mainly derived from their stakes in the company – according to the Bloomberg Billionaires Index. CATL's rise has not come without obstacles. The company was put on a Pentagon blacklist in January based on allegations of CATL's links to the Chinese military – something the company has denied repeatedly. In April, a US congressional committee publicly called on JPMorgan Chase and Bank of America to stop working on the listing because of CATL's alleged military links – again, denied by the company. But both American banks stuck with the deal. The Chinese company's management has said CATL expects 'little impact' from the risk of US tariffs. That stands in stark contrast to a growing list of automakers from Toyota Motor Corp. to Stellantis NV and General Motors warning of billions in extra costs. CATL priced its Hong Kong stock at a smaller discount to its Shenzhen-traded shares, when compared with previous second listings: Appliance maker Midea Group last year sold its stock in its US$4.6 billion Hong Kong listing at a discount of about 20 per cent, while China Tourism Group Duty Freedid so at around 27.5 per cent in 2022. More broadly, Hong Kong shares typically trade at a 25 per cent discount to their stocks on the mainland, according to the Hang Seng Stock Connect China AH Premium Index. 'People like the fact that now you can get access to one of the best companies in China without having to go to A-shares,' said Eugene Hsiao, head of China equity strategy and China Autos at Macquarie Capital. 'I think this is why they did not have to come out with massive discounts. They knew the demand was there.' CATL will be the latest firm to go ahead with a share sale after US President Donald Trump's broad tariff rollout. Even before the latest 90-day pause on many of the tariffs, many Chinese companies had gone ahead with their listing plans as they sought cash from investors. CATL's share offering will help Hong Kong's market for listings this year surge to over US$22 billion, according to Bloomberg Intelligence. BLOOMBERG
