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Zhejiang Leapmotor Technology Co., Ltd. Class H (HK:9863)
:9863
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Zhejiang Leapmotor Technology Co., Ltd. Class H (9863) AI Stock Analysis

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HK:9863

Zhejiang Leapmotor Technology Co., Ltd. Class H

(9863)

Rating:58Neutral
Price Target:
HK$76.00
▲(11.85% Upside)
The overall stock score is primarily influenced by strong technical indicators, suggesting bullish momentum. However, this is offset by poor financial performance and valuation metrics, with ongoing profitability challenges and a negative P/E ratio. The absence of earnings call data and corporate events means these factors do not impact the score.
Positive Factors
Financial Performance
Leapmotor achieved a positive operating profit for the first time, aided by government grants.
Product Launch
The new D-series SUV is set to launch earlier than expected, with strong sales volume growth projected.
Sales Growth
Leapmotor's strong sales momentum is expected to continue, supported by new model rollouts and overseas production.
Negative Factors
Production Risks
A possible production delay in its overseas KD plant could impact Leapmotor International's profit forecast.
Sales and Margin Risks
Key risks include lower sales volume and gross margin than expected, as well as a sector de-rating.

Zhejiang Leapmotor Technology Co., Ltd. Class H (9863) vs. iShares MSCI Hong Kong ETF (EWH)

Zhejiang Leapmotor Technology Co., Ltd. Class H Business Overview & Revenue Model

Company DescriptionZhejiang Leapmotor Technology Co., Ltd. Class H (9863) is a Chinese company engaged in the design, manufacture, and sale of electric vehicles (EVs). The company focuses on developing smart, innovative, and environmentally friendly transportation solutions, aiming to provide high-quality EVs that cater to a broad range of consumers. With a commitment to technological advancement, Leapmotor integrates intelligent systems and advanced engineering to deliver enhanced driving experiences.
How the Company Makes MoneyZhejiang Leapmotor Technology Co., Ltd. primarily generates revenue through the sale of its electric vehicles. The company targets a diverse customer base, offering a range of models that vary in size, features, and price points to meet different consumer needs. Leapmotor invests heavily in research and development to innovate and improve its product offerings, which helps maintain its competitive edge in the growing EV market. The company's revenue stream is significantly supported by strategic partnerships with automotive technology firms and suppliers, enabling it to leverage cutting-edge technology and efficient manufacturing processes. Additionally, Leapmotor may benefit from government incentives and subsidies aimed at promoting electric vehicle adoption, further bolstering its financial performance.

Zhejiang Leapmotor Technology Co., Ltd. Class H Financial Statement Overview

Summary
Zhejiang Leapmotor Technology is experiencing robust revenue growth, but profitability remains a significant challenge. The balance sheet shows moderate leverage, with room for improvement in equity efficiency. Positive trends in cash flow indicate better cash management, but sustained profitability is crucial for long-term financial health.
Income Statement
45
Neutral
Zhejiang Leapmotor Technology Co., Ltd. has shown substantial revenue growth from 2023 to 2024, with an increase of 92%. However, the company continues to face challenges in profitability, with persistent negative net income and EBIT, indicating ongoing operational inefficiencies. The gross profit margin remains low, suggesting pressures on cost management and pricing strategies.
Balance Sheet
40
Negative
The balance sheet indicates a high level of financial leverage with a 0.27 debt-to-equity ratio. Although the company has maintained a positive equity position, the return on equity remains negative due to continued losses. The equity ratio stands at 26.76%, highlighting a moderate reliance on equity financing.
Cash Flow
60
Neutral
The company has shown a notable improvement in free cash flow, turning positive in 2024, indicating better cash management. The operating cash flow to net income ratio is positive, suggesting that operational cash generation is decent despite net losses. However, the free cash flow to net income ratio reflects the need for further operational efficiency.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue32.16B16.75B14.40B3.77B709.39M
Gross Profit2.69B80.47M-2.37B-1.76B-413.43M
EBITDA-2.64B-3.54B-4.66B-2.56B-694.31M
Net Income-2.82B-4.22B-5.94B-3.43B-1.24B
Balance Sheet
Total Assets37.65B28.45B21.63B15.32B3.88B
Cash, Cash Equivalents and Short-Term Investments20.72B15.47B10.98B8.53B733.13M
Total Debt2.71B2.75B6.56B2.77B3.42B
Total Liabilities27.58B15.96B11.90B6.08B4.26B
Stockholders Equity10.07B12.50B9.27B8.84B-667.75M
Cash Flow
Free Cash Flow6.37B-312.89M-3.93B-2.70B-844.25M
Operating Cash Flow8.47B1.08B-2.28B-862.12M-481.98M
Investing Cash Flow-13.32B-4.86B-1.51B-3.66B-333.44M
Financing Cash Flow-503.45M8.55B7.41B10.76B1.15B

Zhejiang Leapmotor Technology Co., Ltd. Class H Technical Analysis

Technical Analysis Sentiment
Positive
Last Price67.95
Price Trends
50DMA
60.71
Positive
100DMA
57.83
Positive
200DMA
46.28
Positive
Market Momentum
MACD
2.84
Negative
RSI
57.37
Neutral
STOCH
52.11
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:9863, the sentiment is Positive. The current price of 67.95 is above the 20-day moving average (MA) of 65.10, above the 50-day MA of 60.71, and above the 200-day MA of 46.28, indicating a bullish trend. The MACD of 2.84 indicates Negative momentum. The RSI at 57.37 is Neutral, neither overbought nor oversold. The STOCH value of 52.11 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HK:9863.

Zhejiang Leapmotor Technology Co., Ltd. Class H Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
61
Neutral
$17.75B12.51-5.49%3.06%1.43%-14.10%
58
Neutral
HK$90.85B-4.91%139.96%86.07%
$25.46B12.1717.07%1.72%
$27.85B11.8915.09%2.54%
€20.82B21.1012.25%
61
Neutral
HK$174.23B-13.27%65.91%48.38%
53
Neutral
HK$109.45B-239.29%22.93%4.35%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:9863
Zhejiang Leapmotor Technology Co., Ltd. Class H
68.25
48.43
244.35%
GELYF
Geely Automobile Holdings
2.53
1.47
138.68%
GWLLF
Great Wall Motor Co
2.51
1.31
109.17%
DE:L87
Li Auto, Inc. Class A
10.33
2.34
29.29%
HK:9866
NIO Inc. Class A
49.54
17.94
56.77%
HK:9868
XPeng, Inc. Class A
94.15
63.20
204.20%

Zhejiang Leapmotor Technology Co., Ltd. Class H Corporate Events

Zhejiang Leapmotor Announces Shareholding Changes
Jul 11, 2025

Zhejiang Leapmotor Technology Co., Ltd. announced a change in the shareholding of its single largest group of shareholders. Hangzhou Mingzhao Shengye Enterprise Management Partnership L.P. will reduce its holdings of the company’s H shares on behalf of its limited partners, while maintaining a significant stake on behalf of Mr. Zhu Jiangming. This adjustment will not impact the 10-year lock-up commitment made by the company’s founders, ensuring stability in its ownership structure.

The most recent analyst rating on (HK:9863) stock is a Buy with a HK$72.00 price target. To see the full list of analyst forecasts on Zhejiang Leapmotor Technology Co., Ltd. Class H stock, see the HK:9863 Stock Forecast page.

Leapmotor Enters Carbon Credits Agreement with Stellantis
Jul 1, 2025

Zhejiang Leapmotor Technology Co., Ltd. has entered into a carbon dioxide credits transfer agreement with Stellantis subsidiaries, allowing the transfer of credits generated by the sale and registration of Leapmotor’s electric vehicles in Europe and the UK in 2025. This agreement, classified as a connected transaction, highlights Leapmotor’s strategic move to leverage its electric vehicle sales for carbon credits, potentially enhancing its market positioning and operational sustainability in the European and UK markets.

The most recent analyst rating on (HK:9863) stock is a Buy with a HK$44.20 price target. To see the full list of analyst forecasts on Zhejiang Leapmotor Technology Co., Ltd. Class H stock, see the HK:9863 Stock Forecast page.

Leapmotor’s AGM Sees Unanimous Approval on Key Resolutions
Jun 25, 2025

Zhejiang Leapmotor Technology Co., Ltd. held its Annual General Meeting on June 25, 2025, where all proposed resolutions, except one, were approved with overwhelming support. This includes key decisions on financial reports, profit distribution, and the appointment of auditors and supervisors, reflecting strong shareholder confidence and strategic alignment with its growth objectives.

The most recent analyst rating on (HK:9863) stock is a Buy with a HK$44.20 price target. To see the full list of analyst forecasts on Zhejiang Leapmotor Technology Co., Ltd. Class H stock, see the HK:9863 Stock Forecast page.

Zhejiang Leapmotor Updates Board Changes and AGM Agenda
Jun 10, 2025

Zhejiang Leapmotor Technology Co., Ltd. announced a change in its board of directors, with Mr. Grégoire Olivier continuing as a non-executive director due to changes in his personal circumstances, and Mr. Maxime Picat not being elected as previously proposed. Consequently, the company has withdrawn the related resolution from the agenda of its upcoming Annual General Meeting, while all other resolutions will proceed as planned.

The most recent analyst rating on (HK:9863) stock is a Buy with a HK$44.20 price target. To see the full list of analyst forecasts on Zhejiang Leapmotor Technology Co., Ltd. Class H stock, see the HK:9863 Stock Forecast page.

Zhejiang Leapmotor Announces 2025 Annual General Meeting with Key Resolutions
Jun 3, 2025

Zhejiang Leapmotor Technology Co., Ltd. has announced its upcoming annual general meeting scheduled for June 25, 2025, where several key resolutions will be considered. These include the approval of various reports for the year 2024, such as the board of directors’ report, financial report, and environmental, social, and governance report. Additionally, the meeting will address resolutions regarding profit distribution, directors’ and supervisors’ remuneration, and the appointment of financial auditors and non-executive directors. Special resolutions will also be discussed, including joint liability guarantees for subsidiaries and distributors, and a mandate for the issuance of shares. This meeting is significant for stakeholders as it outlines the company’s strategic and financial direction for the coming year.

The most recent analyst rating on (HK:9863) stock is a Buy with a HK$44.20 price target. To see the full list of analyst forecasts on Zhejiang Leapmotor Technology Co., Ltd. Class H stock, see the HK:9863 Stock Forecast page.

Zhejiang Leapmotor Announces Board and Supervisor Changes
May 29, 2025

Zhejiang Leapmotor Technology Co., Ltd. announced changes in its board and supervisory positions. Mr. Grégoire Olivier has resigned as a non-executive director due to changes in his work arrangement, and Mr. Maxime Picat has been nominated to replace him, pending shareholder approval. Additionally, Mr. Wu Yefeng has resigned as chairman of the Board of Supervisors for personal career development reasons. Both outgoing members will continue their duties until their successors are appointed at the 2024 annual general meeting. These changes reflect a strategic shift in leadership that may influence the company’s future direction and governance.

The most recent analyst rating on (HK:9863) stock is a Buy with a HK$44.20 price target. To see the full list of analyst forecasts on Zhejiang Leapmotor Technology Co., Ltd. Class H stock, see the HK:9863 Stock Forecast page.

Zhejiang Leapmotor Invests in Wealth Management Products to Enhance Financial Position
May 23, 2025

Zhejiang Leapmotor Technology Co., Ltd. has announced its subscription to various wealth management products offered by SPD Bank, Industrial Bank, and CITIC Bank. These investments, which are principal guaranteed with floating returns, are part of the company’s financial strategy to manage its resources effectively. The move is likely to impact the company’s financial positioning by potentially enhancing its investment income, thereby supporting its operational and strategic objectives.

The most recent analyst rating on (HK:9863) stock is a Buy with a HK$44.20 price target. To see the full list of analyst forecasts on Zhejiang Leapmotor Technology Co., Ltd. Class H stock, see the HK:9863 Stock Forecast page.

Leapmotor Reports Robust Q1 2025 Growth and Expands Product Line
May 19, 2025

Zhejiang Leapmotor Technology Co., Ltd. reported a significant increase in revenue for Q1 2025, reaching RMB10,020 million, a 187.1% year-on-year growth. This growth is attributed to a 162.1% increase in sales and an optimized product portfolio. The company achieved a record gross margin of 14.9%, up from negative figures in the previous year, driven by increased sales volume, cost management, and product mix optimization. Despite a loss of RMB130 million, this was a substantial improvement from the previous year’s loss. Leapmotor’s vehicle deliveries also saw a remarkable rise, with over 87,552 units delivered in Q1 2025, marking it as the fastest-growing emerging auto brand in China. The launch of new models, such as the B10 and B01, equipped with advanced features and design awards, has strengthened Leapmotor’s market position and appeal to young customers.

The most recent analyst rating on (HK:9863) stock is a Buy with a HK$44.20 price target. To see the full list of analyst forecasts on Zhejiang Leapmotor Technology Co., Ltd. Class H stock, see the HK:9863 Stock Forecast page.

Leapmotor Schedules Board Meeting and Results Conference Call for Q1 2025
May 7, 2025

Zhejiang Leapmotor Technology Co., Ltd. has announced a board meeting scheduled for May 19, 2025, to approve and publish its first quarterly results for the period ending March 31, 2025. The company will host a conference call on the same day to discuss these results, providing an opportunity for investors to engage and ask questions, potentially impacting investor relations and market perception.

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: Aug 20, 2025