SDIC Securities International has issued a research report stating that it assigns a target price of HK$103.6 per share for BYD Company Limited (01211), based on an estimated 20x price-to-earnings ratio for 2026, and maintains its "Buy" rating.
The main points from SDIC Securities International are as follows:
September sales reached 464,000 units, a new high for 2026, up 17.0% year-on-year and 5.3% month-on-month.
Breaking down by brand, the Dynasty and Ocean networks combined sold 395,000 units, up 11.0% year-on-year and 5.2% month-on-month, accounting for 86.5% of passenger vehicle sales. Fangchengbao sold 43,181 units, up 79.0% year-on-year and 3.9% month-on-month, with the Tai 7 alone contributing 32,000 units in a single month, representing 74.4% of the brand's sales and serving as the primary source of incremental growth. Denza sold 18,198 units, up 46.7% year-on-year and 13.7% month-on-month. The three premium brands Fangchengbao, Denza, and Yangwang combined sold 62,000 units, up 65.7% year-on-year, accounting for 13.5% of passenger vehicle sales, an increase of 4.0 percentage points from 9.5% in the same period last year, indicating continued upward momentum in product mix. Cumulative sales for January to September reached 3.132 million units.
September exports rose year-on-year. September exports totaled 181,000 units, up 153.9% year-on-year, accounting for 39.0% of monthly sales. Cumulative exports for January to September reached 1.339 million units, up 90.7% year-on-year. In terms of overseas production capacity, factories in Thailand, Uzbekistan, and Brazil have been completed and put into operation, with 8 self-owned ro-ro ships in service. The new energy vehicle business now covers 121 countries and regions across six continents.
New model launches maintained a dense pace in September. The Sea Lion 08 launched on September 2, positioned as the Ocean network's flagship SUV, with 8 variants priced from 229,900 to 279,900 yuan, offering five-seat and six-seat layouts plus plug-in hybrid and pure electric dual powertrains. The Denza N8L pure electric version launched on September 14, priced from 299,800 to 329,800 yuan. The Fangcheng S series launched on September 16, with the Fangcheng S starting at 189,900 yuan and the Fangcheng S GT starting at 219,900 yuan. The Denza Z9S launched on September 23, priced from 255,800 to 325,800 yuan. In the fourth quarter, two flagship models will follow in succession. The Dynasty network's flagship sedan Dahan has opened pre-sales at a pre-sale price of 249,900 to 299,900 yuan, with a planned launch on October 13. The Fangchengbao Tai 9 has already made its debut at the Chengdu Auto Show and is expected to launch in Q4, positioned as a full-size flagship SUV with a wheelbase of 3,130 mm, equipped with a plug-in hybrid system and 310 km of pure electric range.
The charging network is becoming increasingly complete. On September 24, the 2,000th flash-charging highway station was completed at the Baoying Service Area in Yangzhou, Jiangsu, achieving the annual highway station construction target more than three months ahead of schedule, covering 278 highways nationwide with an average interval of approximately 121 km between service areas. Nationwide, a total of 11,586 flash-charging stations have been built, covering 341 cities, with first- and second-tier cities averaging one station every 3 km in urban areas. The company plans to build 20,000 stations by the end of 2026, with over 6,000 planned overseas.
Risk warnings: Domestic new energy vehicle demand recovery may fall short of expectations, and intensified industry price competition could further squeeze profit margins. Overseas market trade barriers and geopolitical risks, as well as exchange rate fluctuations, could lead to foreign exchange losses.