Goldman Sachs holds a positive outlook on BYD Electronics, expecting the company’s automobile business to benefit from product line expansion, rising customer base, and strong shipments of BYD Company, according to a note
BYD Electronics’ overall product portfolio is also expected to improve with the growth of the market share in tablet computer assembly and smartphone casing for Apple, the bank said.
The bank predicts a 20% annual growth in revenue for BYD Electronics in 2023 and maintains its “Buy” rating.
The target price for the company is raised from HK$28.35 to HK$32.51 to reflect the expected growth in revenue this year and a positive outlook for stronger earnings growth and improved profit margins in the coming years, it added.
BYD’s H-shares fell 3.5% to close at hK$245.8 on Monday, and its Shenzhen-listed shares fell 1.7% to close at 289.98 yuan.
