BYDDY - BYD Is Unlikely To Withstand Cut-Throat Price Competition

2024-04-04 03:01:00 ET

Summary

• The price competition in the Chinese EV industry is worsening in early 2024, as industry leaders like BYD have to offer heavy discounts to safeguard their market share.
• The Company is losing its competitive edge, as customers are switching their focus to high-level autonomous driving, an area where Huawei excels.
• BYD's expansion into the overseas market is facing more uncertainties due to rising trade barriers in the US and EU markets.
• Expect a 5%/33% downside in consensus estimates for 2024/25 on lower selling prices and margins.

Editor's note: Seeking Alpha is proud to welcome Theme Catcher Invest as a new contributor. It's easy to become a Seeking Alpha contributor and earn money for your best investment ideas. Active contributors also get free access to SA Premium. Click here to find out more » ...

For further details see: