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JPM Foresees BYD 2nd-Gen Blade Battery to Have Limited Negative Impact on CATL; TP Added to $650
2026-03-20 11:12:27
A JP Morgan research report noted that BYD COMPANY (01211.HK) unveiled its second-generation flash charge battery (Blade Battery 2.0) on March 5, setting new benchmarks for full-charge speed and low-temperature performance. As both BYD and CATL (03750.HK) accelerate the adoption of ultra-fast charging technology, investor interest in the competition between the two companies remains high.

Overall, the broker believed that the launch of BYD’s second-generation battery will have limited negative impact on CATL, while taking note that the market’s transition to ultra-fast charging may create upside potential through spillover effects. BYD was anticipated to seize market share in overseas automotive markets from a low base, but its share in the domestic market was projected to experience a moderate decline.

JP Morgan maintained Overweight on CATL (300750.SZ) A-shares and BYD. The broker raised the target price for CATL’s H-shares to HKD650 from HKD640, but downgraded the stock to Neutral based solely on valuation considerations, as H is now trading at a >40% premium to the A-share. CATL’s A-shares remain JP Morgan’s top pick in China's battery universe.
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