BYD: Attractive Fundamentals As A Dominating Automotive Company

Michael Ngan
118 Followers

Summary

  • BYD is a Chinese automaker with a very strong competitive advantage.
  • Growth will continue to be an important return driver and will be supported mainly by lower-priced NEV segment but also the emerging premium brands within BYD.
  • Valuation of the stock is fair to low at current moment with limited downside.
BYD EV car store and customers. Chinese electric car company

Robert Way

Thesis

BYD (OTCPK:BYDDY) (OTCPK:BYDDF) is an automobile company with a competitive moat. Its superior technology, dominance of the lower-cost automobile segment in China, and benefits from its large scale make it a resilient and profitable company in the highly competitive industry. Its

This article was written by

118 Followers
I'm Michael from Hong Kong. I focus on consumer discretionary and financial services sector in the US and China. My investment time frame is 0.5-2 years. I hold a bachelors in commerce with high distinction from the University of Toronto, specializing in finance and economics. I am passionate about value investing, economics, and public policy. At the moment, I hold a long-biased and China-biased portfolio, looking to diversify more globally.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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