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<Research>Citi Initiates Coverage on SERES H Shrs w/ Neutral Rating, $140.4 TP; A Shrs Downgraded to Sell
Citi, in its research report, initiated coverage on SERES (09927.HK) H shares with a Neutral rating and a target price of HKD140.4. In light of unattractive risk-reward, SERES (601...
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<Research>Citi Initiates Coverage on SERES H Shrs w/ Neutral Rating, $140.4 TP; A Shrs Downgraded to Sell
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Positive
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Negative
13
 
 

Citi, in its research report, initiated coverage on SERES (09927.HK)  -6.200 (-4.715%)   H shares with a Neutral rating and a target price of HKD140.4. In light of unattractive risk-reward, SERES (601127.SH)  -3.900 (-2.671%)   A shares were downgraded from Neutral to Sell, with the target price revised from the original RMB165.5 to RMB129.1, reflecting revised forecasts and share dilution following the Hong Kong listing.

Citi calculated that after listing in Hong Kong, SERES holds net cash of approximately RMB67 billion, with a net cash-to-market-cap of about 0.28x for A shares and 0.34x for H shares, vs 0.68x for Li Auto (LI.US)      ADR.

Related NewsG Sachs Lifts BYD COMPANY's TP to HKD141; Overseas Mkts Expected to Power Future Growth
Concerns about SERES linger, as the extended-range electric vehicle (EREV) industry lagged behind so far this year. With aging vehicle model cycles and SERES's large exposure to the EREV industry, the company may repeat Li Auto's trend; SERES's golden vehicle model cycle is nearing its end. If it reduces its ASP and enters the mass market, it will face competitive challenges from GWMOTOR (02333.HK)  +0.220 (+1.443%)    Short selling $10.80M; Ratio 5.997%   , GEELY AUTO (00175.HK)  +0.330 (+1.885%)    Short selling $127.12M; Ratio 24.268%   , BYD COMPANY (01211.HK)  +1.700 (+1.782%)    Short selling $314.88M; Ratio 18.896%   , and LEAPMOTOR (09863.HK)  +0.500 (+0.868%)    Short selling $12.93M; Ratio 7.097%   .
(HK stocks quote is delayed for at least 15 mins.Short Selling Data as at 2025-11-06 12:25.) (A Shares quote is delayed for at least 15 mins.) (Real-time Streaming US Stocks Quote; Except All OTC quotes are at least 15 minutes delayed.)

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