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Contemporary Amperex Technology Co., Limited Class H (HK:3750)
:3750

Contemporary Amperex Technology Co., Limited Class H (3750) AI Stock Analysis

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HK:3750

Contemporary Amperex Technology Co., Limited Class H

(3750)

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Outperform 80 (OpenAI - 5.2)
Rating:80Outperform
Price Target:
HK$689.00
▲(10.95% Upside)
Action:ReiteratedDate:03/12/26
The score is driven primarily by strong financial performance (profitability and cash flow scaling with improving balance sheet leverage). Technicals add support via a strong uptrend, though momentum is somewhat stretched. Valuation is mixed: an unusually high dividend yield helps offset a higher P/E multiple.
Positive Factors
Margin Expansion & Profitability
Sustained margin expansion and material net income growth indicate improved operating efficiency, pricing power, and scale benefits across battery products. Over 2–6 months this supports durable cash generation and resilience to input cost swings, underpinning reinvestment and long-term competitive positioning.
Strong and Scaling Cash Generation
Robust OCF and rising FCF show the business is converting revenue into internal funding, enabling capex, R&D, and customer contracts without persistent external finance. This durable cash capacity improves strategic optionality and supports long-term investment in capacity and partnerships.
Improving Balance Sheet & Lower Leverage
A stronger equity base and falling leverage materially improve financial flexibility and reduce refinancing risk. For a capital-intensive battery maker, this durable improvement supports large-scale capacity builds, long-term OEM contracts and resilience through industry cycles.
Negative Factors
Revenue Cyclicality
Volatile topline reflects exposure to EV and energy storage demand cycles and OEM order timing. For a high-fixed-cost battery producer, cyclical revenue undermines utilization, margin stability and forecastability, raising the risk that temporary downturns erode returns and cash flow reliability.
High Capital Intensity and Large Asset Base
A very large asset base and ongoing capex needs mean returns depend on sustained demand and high utilization. If growth slows, capital intensity can dilute ROE/ROC and tie up cash in fixed assets, limiting agility to reallocate capital and compressing long-term profitability.
Inconsistent Free Cash Flow Conversion
Variable cash conversion signals working-capital swings and periods of heavy reinvestment, reducing earnings quality. Over the medium term this raises the chance that reported profits outpace true cash availability, forcing external funding in downturns or restricting shareholder returns.

Contemporary Amperex Technology Co., Limited Class H (3750) vs. iShares MSCI Hong Kong ETF (EWH)

Contemporary Amperex Technology Co., Limited Class H Business Overview & Revenue Model

Company DescriptionContemporary Amperex Technology Co., Limited engages in the development, production, sale, and energy storage batteries and systems worldwide. It offers EV batteries, such as battery cells, battery modules/racks, and battery packs; ESS batteries comprise battery cells, battery racks, containers, and other systems; and battery material products, which includes lithium compounds, precursors, and cathode materials, as well as battery recycling and after-sales services. The company's products are used in passenger vehicles, road passenger transportation, urban delivery, heavy-duty transport, urban street cleaning, construction, two-wheeled vehicles, vessels, special vehicles, front-of-the-meter energy storage system, and behind-the-meter energy storage system, as well as emerging applications, such as machinery, vessels, aircraft, and other applications. The company was incorporated in 2011 and is headquartered in Ningde, China.
How the Company Makes MoneyCATL primarily makes money by selling lithium-ion battery products and related solutions, with revenue mainly coming from (1) power battery systems supplied to automakers for use in battery electric and plug-in hybrid vehicles and (2) energy storage systems sold to utility-scale, commercial, and industrial customers for grid balancing, renewable energy integration, and backup power. Additional revenue can come from selling battery cells, modules, and packs; providing ancillary services tied to battery deployment (such as system integration and after-sales support); and participating in the broader battery supply chain via battery-related materials and components where applicable. The company’s earnings are influenced by shipment volumes, customer mix (major automakers and energy-storage project developers), product pricing and contract terms, and underlying raw-material costs (e.g., lithium, nickel, cobalt) that affect margins. Significant partnerships with automotive OEMs and energy storage integrators/developers support demand by anchoring long-term supply relationships, though specific counterparties and contract details are null.

Contemporary Amperex Technology Co., Limited Class H Financial Statement Overview

Summary
Strong profitability expansion (net income rising materially through 2025) with improved margins, a strengthening equity base and improving leverage, and robust operating/free cash flow growth. Key risks are revenue cyclicality (notable 2024 contraction) and capital intensity that can cause variable cash conversion and future returns if growth slows.
Income Statement
84
Very Positive
Profitability has strengthened materially over time, with net income rising from ~5.6B (2020) to ~72.2B (2025) alongside a large revenue base (~423.7B in 2025). Margins improved meaningfully from 2022–2024 (gross margin ~20% to ~24%; net margin ~9% to ~14%), indicating better operating efficiency and/or pricing. The main weakness is growth volatility: revenue contracted in 2024 (~-9.7%) before re-accelerating in 2025 (~+9.8%), which suggests demand/cycle sensitivity.
Balance Sheet
78
Positive
The balance sheet looks solid and improving, with equity expanding sharply (from ~84.5B in 2021 to ~337.1B in 2025), supporting scale-up. Leverage is moderate and trending better: debt-to-equity improved from ~0.60 (2021–2023) to ~0.46 (2024), and total debt declined in 2025 versus 2024 (~97.4B vs ~113.5B). Offsetting this, the asset base is very large (~974.8B in 2025), and while returns on equity were strong in 2022–2024 (~19%–22%), continued capital intensity can pressure future returns if growth slows.
Cash Flow
81
Very Positive
Cash generation is strong and scaling: operating cash flow increased from ~17.4B (2020) to ~133.2B (2025), and free cash flow rose to ~90.9B (2025) with solid growth (~24.6% in 2025). Cash conversion also improved versus earlier years (free cash flow was slightly negative in 2021). The key drawback is that free cash flow relative to net income was not consistently high in earlier periods (e.g., ~0.22 in 2022 and ~0.68 in 2024), implying working-capital swings and/or ongoing heavy reinvestment.
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Mar 2022
Income Statement
Total Revenue423.70B362.01B400.92B328.59B130.36B
Gross Profit111.32B88.49B76.93B66.54B34.26B
EBITDA117.43B90.21B78.91B51.16B27.14B
Net Income72.20B50.74B44.12B30.73B15.93B
Balance Sheet
Total Assets974.83B786.66B717.17B600.95B307.67B
Cash, Cash Equivalents and Short-Term Investments392.51B317.79B264.31B193.02B90.44B
Total Debt97.42B113.52B118.15B93.27B50.49B
Total Liabilities603.80B513.20B497.28B424.04B215.04B
Stockholders Equity337.11B246.93B197.71B164.48B84.51B
Cash Flow
Free Cash Flow90.88B68.89B60.95B14.02B-620.69M
Operating Cash Flow133.22B100.64B94.60B63.26B42.42B
Investing Cash Flow-94.48B-49.65B-27.99B-64.11B-52.33B
Financing Cash Flow-6.31B-16.79B11.80B81.87B22.49B

Contemporary Amperex Technology Co., Limited Class H Peers Comparison

Overall Rating
UnderperformOutperform
Sector (63)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
80
Outperform
HK$2.09T28.1322.82%0.21%5.28%
73
Outperform
HK$91.01B9.9412.40%11.05%81.01%
70
Outperform
HK$63.57B8.0012.48%5.34%3.68%7.86%
63
Neutral
$10.79B15.437.44%2.01%2.89%-14.66%
62
Neutral
HK$13.40B28.505.53%2.52%
61
Neutral
HK$51.01B29.312.28%16.36%102.93%
53
Neutral
HK$11.06B-28.99-74.96%-33.94%-119.13%
* Industrials Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:3750
Contemporary Amperex Technology Co., Limited Class H
621.00
315.61
103.35%
HK:2225
Jinhai International Group Holdings Limited
2.09
0.73
53.68%
HK:2618
JD Logistics, Inc.
13.64
0.12
0.89%
HK:3931
CALB Co., Ltd. Class H
28.78
9.96
52.92%
HK:6198
Qingdao Port International Co Ltd Class H
7.27
1.75
31.70%
HK:9676
Shiyue Daotian Group Co., Ltd Class H
7.13
1.39
24.22%

Contemporary Amperex Technology Co., Limited Class H Corporate Events

CATL Sets 2025 AGM to Approve Dividends, Financing Mandates and ESOP Plan
Mar 10, 2026

Contemporary Amperex Technology Co., Limited has called its 2025 annual general meeting for April 3, 2026 in Ningde, Fujian, where shareholders will review the 2025 annual report, board work report and profit distribution plan, and authorize the board to set the 2026 interim profit distribution. The AGM agenda also covers director remuneration, liability insurance for directors and senior management, reappointment of the auditor, 2026 bank credit facilities, guarantee caps, hedging and entrusted wealth management plans, a general mandate to issue bonds, and a change in the use of A share fundraising proceeds.

Shareholders will further vote on a special mandate allowing the board, within a 5% share-cap limit, to issue H shares and related securities during a defined mandate period, which could provide additional financing flexibility. The meeting will also consider adopting a 2026 A share employee stock ownership plan and its administrative measures, signaling continued use of equity-based incentives to align employees’ interests with long-term corporate performance and capital market strategy.

The most recent analyst rating on (HK:3750) stock is a Buy with a HK$660.00 price target. To see the full list of analyst forecasts on Contemporary Amperex Technology Co., Limited Class H stock, see the HK:3750 Stock Forecast page.

CATL Announces Final 2025 Dividend and Details Cross-Border Tax Treatment
Mar 10, 2026

Contemporary Amperex Technology Co., Limited has declared a final ordinary cash dividend of RMB 21.78 per 10 shares for the financial year ended 31 December 2025, equivalent to HKD 24.68 per 10 shares, subject to shareholder approval on 3 April 2026. The ex-dividend date is set for 10 April 2026, with the record date on 17 April 2026 and payment scheduled for 14 May 2026, indicating a continued commitment to shareholder returns and reflecting solid profitability.

The company also detailed the withholding tax arrangements for different categories of non-resident individual and enterprise shareholders, including varying tax rates and treaty-based preferential treatments, as well as special provisions for mainland investors using Stock Connect. These tax clarifications provide transparency for cross-border investors and may enhance the attractiveness and accessibility of CATL’s H shares in the Hong Kong market.

The most recent analyst rating on (HK:3750) stock is a Buy with a HK$660.00 price target. To see the full list of analyst forecasts on Contemporary Amperex Technology Co., Limited Class H stock, see the HK:3750 Stock Forecast page.

CATL Declares 2025 Special Dividend and Outlines Cross-Border Tax Treatment
Mar 10, 2026

Contemporary Amperex Technology Co., Limited has announced a special cash dividend for the financial year ended 31 December 2025, declaring RMB 47.79 per 10 shares, equivalent to HKD 54.15 per 10 shares based on a set exchange rate. The distribution, subject to shareholder approval on 3 April 2026, will use a record date of 17 April 2026 and a payment date of 14 May 2026, underscoring the company’s strong cash generation and willingness to return capital to shareholders.

The company has also detailed the withholding tax treatment for different categories of non-resident individual and enterprise shareholders, including those investing via Shanghai-Hong Kong and Shenzhen-Hong Kong Stock Connect. These tax arrangements, which include exemptions for qualifying mainland enterprises and treaty-based preferential rates for foreign individuals, are designed to clarify after-tax returns and may enhance the attractiveness of the stock to various cross-border investor groups.

The most recent analyst rating on (HK:3750) stock is a Buy with a HK$660.00 price target. To see the full list of analyst forecasts on Contemporary Amperex Technology Co., Limited Class H stock, see the HK:3750 Stock Forecast page.

CATL Publishes Unaudited 2025 Annual Results and Details Forthcoming Full Report
Mar 9, 2026

Contemporary Amperex Technology Co., Limited has released its unaudited annual results for the year ended December 31, 2025, fulfilling Hong Kong listing requirements for a preliminary disclosure of full-year performance. The full 2025 annual report, covering financial highlights, management discussion, corporate governance, and multi-year data, will be made available on the Hong Kong stock exchange website and the company’s own site, providing shareholders and investors with a comprehensive view of operations and oversight.

The most recent analyst rating on (HK:3750) stock is a Buy with a HK$660.00 price target. To see the full list of analyst forecasts on Contemporary Amperex Technology Co., Limited Class H stock, see the HK:3750 Stock Forecast page.

CATL Sets March Board Meeting to Approve 2025 Results and Mull Final Dividend
Feb 25, 2026

Contemporary Amperex Technology Co., Limited has scheduled a board meeting for March 9, 2026, to review and approve the annual results for the year ended December 31, 2025. The board will also consider the publication of these financial results and decide whether to recommend a final dividend, a move that could directly affect shareholder returns and signal management’s confidence in the company’s performance.

The announcement underscores the company’s adherence to regulatory disclosure practices in Hong Kong and provides investors with a clear timetable for key financial decisions. The composition of the board, including several executive and independent non-executive directors, highlights a governance structure designed to oversee strategic and financial matters as the company manages its growth and market positioning.

The most recent analyst rating on (HK:3750) stock is a Buy with a HK$660.00 price target. To see the full list of analyst forecasts on Contemporary Amperex Technology Co., Limited Class H stock, see the HK:3750 Stock Forecast page.

CATL Proposes 2026 A Share Employee Stock Ownership Plan to Boost Incentives
Feb 10, 2026

Contemporary Amperex Technology Co., Limited plans to introduce a 2026 A share employee stock ownership plan, subject to approval at a general meeting, to strengthen its long-term incentive mechanisms and corporate governance. The scheme aims to attract and retain mid-level managers and core technical personnel, including foreign staff but excluding directors, senior executives, major shareholders and their close relatives, aligning their interests with those of shareholders and the company over the long term.

The plan will initially cover 4,956 employees, with the final number depending on actual subscriptions, and share grants will be drawn from the company’s existing repurchased A shares held in a dedicated securities account. By using treasury shares representing 0.7008% of its total share capital, the company seeks to enhance team cohesion and core competitiveness without immediate new dilution, potentially reinforcing its strategic execution and talent retention in a highly competitive battery sector.

The most recent analyst rating on (HK:3750) stock is a Buy with a HK$640.00 price target. To see the full list of analyst forecasts on Contemporary Amperex Technology Co., Limited Class H stock, see the HK:3750 Stock Forecast page.

CATL Aligns Reporting to Chinese Accounting Standards, Drops Separate Overseas Auditor
Jan 9, 2026

Contemporary Amperex Technology Co., Limited has approved a shift to prepare and disclose all its financial statements solely under the China Accounting Standards for Business Enterprises from the 2025 annual report onward, citing the substantial convergence between CASBE and IFRS and emphasizing that the move will not materially affect its reported results or financial position. With this alignment, CATL will rely on its domestic auditor Grant Thornton Certified Public Accountants, which is recognized by Chinese and Hong Kong regulators to serve PRC issuers listed in Hong Kong, and will no longer appoint a separate overseas auditing firm—an efficiency-focused change that the board’s audit committee says will streamline disclosure without compromising the reliability of financial information for investors.

The most recent analyst rating on (HK:3750) stock is a Hold with a HK$557.00 price target. To see the full list of analyst forecasts on Contemporary Amperex Technology Co., Limited Class H stock, see the HK:3750 Stock Forecast page.

CATL Shareholders Approve Governance Overhaul, New Mandates at Extraordinary Meeting
Dec 28, 2025

Contemporary Amperex Technology Co., Limited announced that shareholders at its extraordinary general meeting on 25 December 2025 approved all resolutions put forward, including amendments to a series of internal management systems covering cumulative voting, external investment, wealth management, related-party transactions, guarantees, donations, raised funds and the prevention of fund occupation by controlling shareholders and their affiliates. The meeting also approved the appointment of a new executive director, granted the board a general mandate to issue shares and corporate bonds, and raised the cap on guarantees provided to subsidiaries for 2025, measures that collectively enhance the company’s capital-raising flexibility, strengthen governance and risk controls, and support its continued expansion in domestic and international markets.

The most recent analyst rating on (HK:3750) stock is a Hold with a HK$557.00 price target. To see the full list of analyst forecasts on Contemporary Amperex Technology Co., Limited Class H stock, see the HK:3750 Stock Forecast page.

CATL Details Board Line-up and Committee Structure
Dec 28, 2025

Contemporary Amperex Technology Co., Limited has announced the current composition of its board of directors, led by chairman and general manager Zeng Yuqun, co-chairman Pan Jian, and vice chairmen Li Ping and Zhou Jia, alongside other executive and independent non-executive directors. The company also detailed the membership structure of its four key board committees—Strategy, Audit, Nomination, and Remuneration and Appraisal—clarifying leadership roles and committee responsibilities, which underscores its corporate governance framework and may provide investors and other stakeholders with greater visibility into oversight and decision-making processes at the board level.

The most recent analyst rating on (HK:3750) stock is a Hold with a HK$557.00 price target. To see the full list of analyst forecasts on Contemporary Amperex Technology Co., Limited Class H stock, see the HK:3750 Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Mar 12, 2026