S&P 500   4,594.63
DOW   36,245.50
QQQ   389.94
MarketBeat Week in Review – 11/27 - 12/1
AI Stock Caught Trading Under Secret Name (Ad)
Mega merger in the works? Humana, Cigna explore big deal
Teen girls are being victimized by deepfake nudes. One family is pushing for more protections
Better Than Oil Stocks (Ad)
US joins in other nations in swearing off coal power to clean the climate
US targets oil and natural gas industry's role in global warming with new rule on methane emissions
Better Than Oil Stocks (Ad)
At COP28 meeting, oil companies pledge to combat methane. Environmentalists call it a "smokescreen"
BMW recalls SUVs after Takata air bag inflator blows apart, hurling shrapnel and injuring driver
S&P 500   4,594.63
DOW   36,245.50
QQQ   389.94
MarketBeat Week in Review – 11/27 - 12/1
AI Stock Caught Trading Under Secret Name (Ad)
Mega merger in the works? Humana, Cigna explore big deal
Teen girls are being victimized by deepfake nudes. One family is pushing for more protections
Better Than Oil Stocks (Ad)
US joins in other nations in swearing off coal power to clean the climate
US targets oil and natural gas industry's role in global warming with new rule on methane emissions
Better Than Oil Stocks (Ad)
At COP28 meeting, oil companies pledge to combat methane. Environmentalists call it a "smokescreen"
BMW recalls SUVs after Takata air bag inflator blows apart, hurling shrapnel and injuring driver
S&P 500   4,594.63
DOW   36,245.50
QQQ   389.94
MarketBeat Week in Review – 11/27 - 12/1
AI Stock Caught Trading Under Secret Name (Ad)
Mega merger in the works? Humana, Cigna explore big deal
Teen girls are being victimized by deepfake nudes. One family is pushing for more protections
Better Than Oil Stocks (Ad)
US joins in other nations in swearing off coal power to clean the climate
US targets oil and natural gas industry's role in global warming with new rule on methane emissions
Better Than Oil Stocks (Ad)
At COP28 meeting, oil companies pledge to combat methane. Environmentalists call it a "smokescreen"
BMW recalls SUVs after Takata air bag inflator blows apart, hurling shrapnel and injuring driver
S&P 500   4,594.63
DOW   36,245.50
QQQ   389.94
MarketBeat Week in Review – 11/27 - 12/1
AI Stock Caught Trading Under Secret Name (Ad)
Mega merger in the works? Humana, Cigna explore big deal
Teen girls are being victimized by deepfake nudes. One family is pushing for more protections
Better Than Oil Stocks (Ad)
US joins in other nations in swearing off coal power to clean the climate
US targets oil and natural gas industry's role in global warming with new rule on methane emissions
Better Than Oil Stocks (Ad)
At COP28 meeting, oil companies pledge to combat methane. Environmentalists call it a "smokescreen"
BMW recalls SUVs after Takata air bag inflator blows apart, hurling shrapnel and injuring driver

China-Based EV Maker BYD Set For Big European, Japanese Expansion

China-Based EV Maker BYD Set For Big European, Japanese Expansion

Key Points

  • Chinese EV manufacturer BYD said Monday that third-quarter sales almost tripled
  • The company is rapidly expanding into Europe and boosting its presence in other Asia-Pacific regions
  • Fellow China-based EV makers Li, XPeng and Nio also increased sales in the quarter 
  • 5 stocks we like better than NIO

When Americans are out and about and see electric vehicles, it’s common to see those made by Tesla NASDAQ: TSLA or every once in a great while, Rivian NASDAQ: RIVN. Meanwhile, legacy automakers like Ford NYSE: F and General Motors NYSE: GM are rolling out their own versions of electric vehicles.

Amid all the activity by U.S.-based automakers, Chinese EV maker BYD OTCMARKETS: BYDDF has aspirations to be a global company, not limited to its current outsized market share in its home country. Its vehicle offerings include hybrids and those powered entirely by electricity.

On Monday, the company said third-quarter vehicle sales almost tripled. It’s introducing new models, such as the Seal, for which it (along with analysts) has high hopes. Wall Street expects BYD to earn $0.46 per share for the full year. That would be a 171% gain over 2021. Next year, that’s seen rising another 74% to $0.80 per share. 

While the U.S. market is still in its sights, BYD is expanding into Europe. Last week, the company hosted an event in the Netherlands where it revealed three EVs available for sale starting this quarter. It introduced its Tang EV in Norway in 2020, but is adding other markets. It recently began shipping EVs to India, New Zealand and Australia, with plans to expand further in Asia, including into Japan. 

If that weren’t enough, the company also has a battery-production partnership with Tesla. 


BYD has been making cars in China for over two decades but is gradually shifting to take a dominant position in the EV market. While it may be largely unknown in the U.S., those in the know have long been aware of BYD’s growth. Warren Buffett’s Berkshire Hathaway NYSE: BRK.A holds a significant chunk of BYD shares, 

Shares of BYD were up 2.53% in heavy trading volume Monday following news of the quarterly sales. The company has not yet reported quarterly earnings.

The company has notched a stellar history of sales growth recently, with revenue increasing between 24% and 153% in the past eight quarters. Its three-year sales growth rate is 37%.

Earnings grew at triple-digit rates over the past three quarters, and the company has a long history of profitability. The three-year earnings growth rate is a more-than-healthy 36%.

Nonetheless, given market conditions, the stock has been in a slump this year, with the following returns:

  • 1 month: -19.60%
  • 3 months: -38.62%
  • Year-to-date: -27.24%

Analysts have confidence in the stock, though. 

According to MarketBeat analyst data, Wall Street has a “buy” rating on the stock. In September Barclays initiated coverage with a rating of “overweight.”

Analyst coverage remains scant, despite a market capitalization of $68.75 billion. That’s because the stock is traded over the counter, rather than being listed on a major exchange as an American Depositary Receipt, as many overseas companies are. 

BYD’s uptick came on a day when Tesla skidded more than 8% after saying its third-quarter vehicle deliveries came in below views. 

Other EV makers, such as China’s XPeng NYSE: XPEV and Nio NYSE: NIO were trading lower Monday, while Li Auto NASDAQ: LI was moving to the upside. 

Li reported third-quarter vehicle sales Friday, with totals for hybrid and all-electric vehicles coming in ahead of guidance (which has previously been lowered), and that it was moving up the launches of two new models. 

Nio’s quarterly vehicle sales were up a whopping 29.3% year-over-year, while XPeng’s came in 15% higher. 

Electric vehicles are clearly companies that could be considered in the “high growth potential” category. That’s especially true of the Chinese manufacturers and Tesla, although there are laggards, such as Rivian, which analysts don’t expect to be profitable any time soon.

It’s very tempting to jump into a high-growth industry like this, but evaluate carefully how each stock is doing, what markets it’s entering and how Wall Street views the company’s future prospects.
China-Based EV Maker BYD Set For Big European, Japanese Expansion

Should you invest $1,000 in NIO right now?

Before you consider NIO, you'll want to hear this.

MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and NIO wasn't on the list.

While NIO currently has a "Hold" rating among analysts, top-rated analysts believe these five stocks are better buys.

View The Five Stocks Here

Metaverse Stocks And Why You Can't Ignore Them Cover

Thinking about investing in Meta, Roblox, or Unity? Click the link to learn what streetwise investors need to know about the metaverse and public markets before making an investment.

Get This Free Report

Companies Mentioned in This Article

CompanyMarketRank™Current PricePrice ChangeDividend YieldP/E RatioConsensus RatingConsensus Price Target
BYD (BYDDF)
0 of 5 stars
$26.51-1.5%N/A51.98BuyN/A
Tesla (TSLA)
2.2835 of 5 stars
$238.83-0.5%N/A76.79Hold$232.53
Rivian Automotive (RIVN)
2.501 of 5 stars
$18.03+7.6%N/A-2.99Moderate Buy$28.95
Ford Motor (F)
2.6597 of 5 stars
$10.58+3.1%5.67%6.92Hold$14.42
General Motors (GM)
2.9528 of 5 stars
$32.36+2.4%1.11%4.55Moderate Buy$50.25
Li Auto (LI)
2.49 of 5 stars
$36.30-1.8%N/A43.21Buy$78.72
XPeng (XPEV)
1.4244 of 5 stars
$15.74-5.2%N/A-8.42Hold$17.71
NIO (NIO)
1.8791 of 5 stars
$7.15-1.7%N/A-3.97Hold$12.80
Compare These Stocks  Add These Stocks to My Watchlist 

Kate Stalter

About Kate Stalter

  • stalterkate@gmail.com

Contributing Author

Retirement, Asset Allocation, and Tax Strategies

Experience

Kate has been a contributing writer for MarketBeat since 2021.

Areas of Expertise

Asset allocation, technical and fundamental analysis, retirement strategies, income generation, risk management, sector and industry analysis

Education

B.A., Saint Mary’s College, Notre Dame, Indiana; MBA, Kellogg School of Management, Northwestern University

Additional Experience

Series 65-licensed investment advisor, financial advisor, Blue Marlin Advisors; investment columnist for Forbes, U.S. News & World Report

Past Experience

Founder, financial advisor for Better Money Decisions; editor, stock trading instructor for Investor’s Business Daily; columnist, podcast host, video host for MoneyShow.com; contributor for Morningstar magazine


Featured Articles and Offers

Fisker Stock Results, Delivery Struggles, and Share Price Implosion

Fisker Stock Results, Delivery Struggles, and Share Price Implosion

Discover Fisker Inc.'s journey from a sub-$5 penny stock to potential growth amid Q3 challenges and industry-wide trends.

Search Headlines:

My Account -