Morgan Stanley: Raised target price for Ningde Times H shares to HK$815.

Morgan Stanley has upgraded the Hong Kong stock rating of CATL to "Hold". The institution predicts that the company's sodium-ion battery and solid-state battery next-generation technology will rapidly scale up, leading to faster performance growth and continuous increase in market share over the next three years. Analysts stated in a research report, "The market focus is shifting towards the growth certainty in 2027-2028, which we believe is increasingly critical for the stock in the next phase." According to the institution's calculations, just in the field of solid-state batteries, there is potential to tap into a market of around 350 gigawatt-hours, offering economic benefits in profit margin improvement; while sodium-ion batteries may open up or even reconstruct a market of around 1000 gigawatt-hours, which is significantly larger compared to the industry's sales volume of 662 gigawatt-hours in 2025. "We have raised our expected net profit compound annual growth rate for 2026-2028 from the previous 25% to 30%." At the same time, the target price has been raised by 17% to HK$815 per share.