{"id":270,"date":"2026-03-30T04:43:06","date_gmt":"2026-03-30T04:43:06","guid":{"rendered":"https:\/\/www.europesays.com\/europe\/270\/"},"modified":"2026-03-30T04:43:06","modified_gmt":"2026-03-30T04:43:06","slug":"assessing-geely-automobile-holdings-sehk175-valuation-after-european-tech-merger-and-strong-2025-results","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/europe\/270\/","title":{"rendered":"Assessing Geely Automobile Holdings (SEHK:175) Valuation After European Tech Merger And Strong 2025 Results"},"content":{"rendered":"\n

Find winning stocks<\/a> in any market cycle. Join 7 million investors using Simply Wall St’s investing ideas for FREE.<\/p>\n

Geely Automobile Holdings (SEHK:175) is back in focus after proposing wide ranging updates to its memorandum and articles of association, including virtual AGM participation, electronic payments, and alignment with Hong Kong\u2019s paperless listing regime.<\/p>\n

See our latest analysis for Geely Automobile Holdings.<\/a><\/p>\n

The recent corporate housekeeping and governance upgrades are landing at a time when momentum is already strong, with a 29.41% 1 month share price return, 19.43% 3 month share price return and a 120.84% 3 year total shareholder return suggesting interest has been building over both shorter and longer horizons.<\/p>\n

If these shifts at Geely have you thinking more broadly about where growth and technology could lead the auto sector next, it could be a good moment to scan 32 robotics and automation stocks<\/a><\/p>\n

With sales at CN\u00a5345,232.2m, net income at CN\u00a516,852.23m and the share price at HK$20.90 after a strong recent run, the key question is whether Geely still trades at a discount, or if the market is already pricing in future growth.<\/p>\n

The most followed valuation narrative places Geely Automobile Holdings’ fair value at HK$26.23 per share, compared with the last close at HK$20.90. This frames a material gap that needs explaining.<\/p>\n

Geely’s strategy of launching 10 new NEV models in 2025 and continuing global expansion is likely to impact revenue positively by increasing market penetration and sales volume. The integration of smart driving technologies, including AI applications and autonomous driving features, is expected to enhance the product offering, potentially leading to higher average selling prices and improved net margins.<\/p>\n

Read the complete narrative.<\/a><\/p>\n

Want to see what kind of revenue trajectory and profit profile are being built into that fair value, and how future earnings multiples fit into the story?<\/p>\n

The narrative applies a 10.85% discount rate and combines revenue growth, margin compression and a higher future earnings multiple to arrive at HK$26.23 per share. That fair value suggests Geely trades at a meaningful discount to the assumptions many analysts are using around earnings, returns on equity and long term expansion plans.<\/p>\n

Result: Fair Value of HK$26.23 (UNDERVALUED)<\/p>\n

Have a read of the narrative in full and understand what’s behind the forecasts.<\/a><\/p>\n

However, this narrative still hinges on Geely defending margins in a crowded NEV market and successfully executing complex integrations, such as Zeekr and Lynk & Co.<\/p>\n

Find out about the key risks to this Geely Automobile Holdings narrative.<\/a><\/p>\n

If the mix of optimism and questions here feels familiar, now is a good time to look at the numbers yourself and move quickly to shape your own view. You can start with the 5 key rewards<\/p>\n

If Geely has sharpened your focus, do not stop here. The real edge often comes from comparing a few strong ideas side by side.<\/p>\n

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.<\/p>\n

Companies discussed in this article include 0175.HK<\/a>.<\/p>\n

Have feedback on this article? Concerned about the content? Get in touch<\/a> with us directly. Alternatively, email editorial-team@simplywallst.com<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Find winning stocks in any market cycle. Join 7 million investors using Simply Wall St’s investing ideas for…\n","protected":false},"author":2,"featured_media":271,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2],"tags":[349,15,350,347,351,348],"class_list":{"0":"post-270","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-europe","8":"tag-electronic-payments","9":"tag-european","10":"tag-fair-value","11":"tag-geely-automobile-holdings","12":"tag-revenue-growth","13":"tag-share-price"},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/posts\/270","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/comments?post=270"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/posts\/270\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/media\/271"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/media?parent=270"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/categories?post=270"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/europe\/wp-json\/wp\/v2\/tags?post=270"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}