Haitong International: Maintaining the “better than the market” rating in the Ningde Era (03750) gross margin is still stable

The Zhitong Finance App learned that Haitong International released a research report saying that considering the continuous growth in performance since the Ningde Era (03750) 2026, the leading position is definitely stable. At the same time, as new technologies such as sodium batteries continue to be implemented and share buybacks show management confidence, giving Hong Kong stocks a target price-earnings ratio of 32 times in 2026, the bank expects net profit of 95.9 billion yuan, 117.9 billion yuan and 144 billion yuan respectively, corresponding to a total target market value of 2.65 trillion yuan. Based on the H share capital ratio and the current RMB/HKD exchange rate of 1.15, the target price for Hong Kong stocks is HK$773, maintaining the “superior to the market” rating.

According to the report, at the policy level, lithium battery consumption tax will resume on September 1, and export tax rebates will be completely abolished on January 1, 2027, which will benefit leading companies to enhance their competitive advantage. In the first half of 2026, Ningde Times achieved revenue of 276.917 billion yuan (same below), an increase of 54.8% year on year; net profit to mother was 43.284 billion yuan, an increase of 41.98% year on year. Among them, net profit for the second quarter was 22.546 billion yuan, up 8% from quarter to quarter and 36.46% year on year. The profit growth rate showed a quarterly upward trend. The first half of 2026 achieved deduction of non-net profit of 39.013 billion yuan, an increase of 43.44%; the consolidated gross profit margin for the first half of the year was 23.93%, a slight decrease of 1.09 percentage points from the previous year, but it is still steady against the backdrop of fluctuating raw material prices and increased industry competition.