Morgan Stanley says this stock could consolidate China’s electric vehicle sector
Shares of Chinese electric car makers started the new year on a downtrend, facing stiff competition and ongoing price wars that are eroding automakers’ profitability amid weak overall market sentiment. Hong Kong-listed shares of Nio and Xpeng have fallen more than 18% and 16%, respectively, while Li Auto has fallen 12% so far this year. BYD and Zhejiang Leapmotor have fallen nearly 2.5% and 12%, respectively, in 2024. Bernstein analysts noted in a recent report on China's electric vehicle industry: "We expect competition within the domestic market to remain intense, putting pressure on pricing and profitability." Morgan Stanley also highlighted…







