Saic Motor Aug. vehicle sales 363,371 units

Saic Motor Aug. vehicle sales 363,371 units

In a significant move, BofA Securities has issued double upgrades for SAIC Motor and Eve Energy, elevating both companies' stock ratings and raising their price objectives based on improved earnings forecasts and strong shipment growth. The upgrades reflect the anticipated impact of new electric vehicle (EV) brands and improved production utilization.

SAIC Motor Upgrades

SAIC Motor, a major player in the Chinese automotive market, has seen its price objective raised to RMB27 from RMB15.3 by BofA Securities [1]. The brokerage attributes this upgrade to the expected impact of Shangjie, a new EV brand developed in collaboration with Huawei. The first model, the H5 SUV, has already garnered significant interest, with presales starting on August 25 and booking over 50,000 refundable orders in a single day. The official launch is scheduled for September 23.

BofA forecasts that Shangjie will sell 60,000 units in 2025, rising to 260,000 in 2026 and 550,000 in 2027. These figures compare favorably with the groupwide volume forecasts of 4.61 million, 4.93 million, and 5.33 million vehicles for the same years. Revenue projections for SAIC Motor are expected to reach RMB672.9 billion in 2025, RMB722.6 billion in 2026, and RMB805.6 billion in 2027, up from RMB627.6 billion in 2024. Net income is projected to surge to RMB10.1 billion in 2025, up 503.9% year over year, before declining to RMB8 billion in both 2026 and 2027. Earnings per share are forecast at RMB0.87 in 2025, RMB0.69 in 2026, and RMB0.70 in 2027.

Eve Energy Upgrades

Eve Energy, another key player in the EV sector, has also received a price objective upgrade from RMB37 to RMB70 by BofA Securities [1]. The brokerage expects profitability to improve in the second half of 2025 through 2027 as production utilization rises and overseas customers, including BMW and Mercedes, increase their purchases. In the first half of 2025, Eve Energy shipped 21.5 GWh of EV batteries and 28.7 GWh of energy storage system batteries, up 59% and 37% year over year, respectively.

BofA forecasts compound annual shipment growth of 21% for EV batteries and 31% for energy storage batteries between 2025 and 2027. Total shipments are projected to reach 117 GWh in 2025, 150 GWh in 2026, and 189 GWh in 2027. Revenue is forecast at RMB63.7 billion in 2025, RMB76.7 billion in 2026, and RMB91.5 billion in 2027, compared with RMB48.6 billion in 2024. Net income is estimated at RMB3.9 billion in 2025, RMB6 billion in 2026, and RMB7.7 billion in 2027. Earnings per share are projected at RMB1.91 in 2025, RMB2.94 in 2026, and RMB3.78 in 2027.

Conclusion

The upgrades from BofA Securities reflect the strong performance and promising prospects of SAIC Motor and Eve Energy in the EV market. The expected growth in sales, revenue, and profitability, driven by new EV brands and improved production utilization, positions these companies favorably for future growth.

References

[1] https://www.investing.com/news/stock-market-news/bofa-double-upgrade-saic-surges-on-shangjie-ev-eve-energy-on-margin-gains-4216392
[2] https://www.electrive.com/2025/09/01/saic-launches-mg4-also-with-semi-solid-state-battery/