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<Research>CMBI Keeps Buy on BYD COMPANY; Overseas Biz & R&D Capitalization Support Earnings Resilience
BYD COMPANY (01211.HK) reported 1Q26 revenue and gross margin above expectations on the strength of its overseas business, CMBI released a research report saying.During the period,...
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<Research>CMBI Keeps Buy on BYD COMPANY; Overseas Biz & R&D Capitalization Support Earnings Resilience
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BYD COMPANY (01211.HK)  +1.000 (+1.107%)    Short selling $1.02B; Ratio 22.116%   reported 1Q26 revenue and gross margin above expectations on the strength of its overseas business, CMBI released a research report saying.

During the period, BYD COMPANY's sales volume and revenue declined by 30% and 12% YoY, respectively, 13% higher than the broker's previous forecasts. R&D expense control was stricter than expected, but foreign exchange losses were higher than anticipated. As a result, net profit in 1Q26 reached RMB4.1 billion, about RMB700 million above the broker's forecast.

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In CMBI's estimation, BYD COMPANY's 1Q26 R&D capitalization ratio increasing to about 17% from 9% in 2025 was another reason for the forecast-beating net profit.

CMBI has kept a Buy rating on BYD COMPANY, with a target price of HKD125.
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2026-05-29 16:25.)

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