Broker: China Galaxy International Securities (CGSI)
Date of Report: April 16, 2026
Excerpt from China Galaxy International Securities report.
Report Summary
- Stock: CATL-H (3750.HK)
- Action: Add (Buy)
- Target Price: HK\$726 (up from HK\$638)
- Key Idea: CATL is regaining market share in both power and energy storage system (ESS) batteries, supported by strong shipment growth and capacity ramp-up.
- Highlights:
- 1Q26 revenue was Rmb129bn (+24% YoY), beating forecasts by 17% due to higher battery shipments.
- 1Q26 net profit was Rmb20.7bn (+49% YoY), exceeding expectations by 22%.
- CATL’s power battery market share in China rose to 47.7% in 1Q26 (from 43.3% in 2025), with overseas share in Europe reaching 44%.
- ESS battery shipments grew 108% YoY in 1Q26. Domestic ESS market share stabilized and is expected to rise to 26% in FY26F.
- FY26F/27F/28F EPS forecasts raised by 18%/17%/15% respectively.
- Re-rating catalysts: penetration of new products, battery technology breakthroughs.
- Downside risks: slower overseas EV penetration, faster technological advances by peers.
Implications for Investors: The strong shipment growth, higher market share, and raised earnings forecasts support a positive outlook. The report recommends adding the stock with a target price of HK\$726.
above is an excerpt from a report by China Galaxy International Securities. Clients of China Galaxy International Securities can be the first to access the full report from the China Galaxy International Securities website : https://www.chinastock.com.hk
