LongBridge Takeaway | BYD and Ali's price target boosted, Meta could up another 50%?

Goldman Sachs: Maintain the "buy" rating of BYD and add them to the list of confident buys. The target price is raised by 33.7% from HK $303 to HK $405

If calculated at today's closing price of HK $313.6, this price means that there is still 29% room for improvement!

Reason: The bank said that BYD's market capitalization exceeded 1 trillion yuan to become one of the most valuable automakers in the world, and believes that the company is in a climbing phase, driven by the growth of the total addressable market for new energy vehicles and batteries.

According to the report, reviewing the performance meetings of Tesla in the same industry in recent years, it can be seen that industry leaders are fully expanding automotive design technologies, such as autonomous driving, frame technology, platform upgrades, etc. Considering BYD's own design and production parts operation model, compared with other competitors that rely on external resources, new designs can be displayed in a shorter cycle.

Goldman Sachs predicts that BYD's share of the new energy vehicle market in the mainland will increase from 26% in the first quarter of 2022 to 36% in 2023; 45% in 2025; and 52% in 2030, driven by the company's own production capacity and a variety of vehicle options. At the same time, due to the rapid increase in demand in the mainland market and the accelerated application of electric vehicles, it is believed that BYD's sales will benefit the most, and the relevant scale advantages will also provide the company with cash flow and R & D budget.

Nomura: Maintain Alibaba "Buy" rating, raise target price by 11% from $131 to $145

Based on the previous trading day's closing price of $116, this price means that there is still room for 25% to rise!

Reason: The bank expects that the company's mainland e-commerce revenue (commissions plus customer management services) in the first quarter of fiscal 2023 will fall by 12% year over year, a decline greater than the market expectation of 10 %, of which Taobao and Tmall's total transaction volume (GMV) may fall by 8% year over year. It is also estimated that the quarterly revenue of the entire mainland e-commerce business in the first fiscal quarter will decline by 1% year over year to RMB 138.5 billion (the same below), which is 2% lower than the market forecast of RMB 141 billion, but EBITA is expected to reach 42 billion yuan, which is higher than the market expectation of 39 billion yuan, mainly due to more active cost reduction since fiscal year 2023, so that the consolidated loss of the two incubation businesses of Tao Te and Tao Cai Cai Cai continued to decline by 30% to 40%.

Royal Bank of Canada: Maintain Goldman Sachs' "in sync with the market" rating, cut its price target by 5% from $390 to $370

If the previous trading day's closing price of $299.23 is calculated, this price means that there is still 24% room for improvement!

Reason: The bank sees investment banking as particularly weak, with a less than rosy investment outlook due to expectations that the Federal Reserve will continue to tighten monetary policy for at least the next 12 months. It also expects Goldman to join its peers in implementing cost-saving strategies to align spending with revenue.

Evercore ISI: Reiterates Micron's "outperform" rating, with a long-term price target of $90

If you use the previous trading day's closing price of $53.65, this price means that there is still 68% room for improvement!

Reason: The bank pointed out that after Micron Technology released its fiscal third quarter report and fiscal fourth quarter guidance, due to weak demand for PCs and smartphones, both DRAM and NAND inventories were revised, so its expectations for the company are being significantly reduced.

With the new chief financial officer, Mark J. Murphy, in office, analysts believe that "Murphy is being overly conservative in the updated guidance," and now predict that Micron's earnings per share will bottom out in February and gradually recover thereafter, supporting earnings of $6 per share in 2023.

At present, Micron Technology has lowered its forecast, while many other semiconductor companies have not lowered, and the bank continues to be optimistic about the company's risk-return.

JMP: Reaffirming Meta Platforms "outperform" rating, target price $240

Calculated at the closing price of $160.03 in the previous trading day, this price means that there is still 50% room for improvement!

Reason: A media report earlier said that Meta expects growth to slow in the second half of 2012 and will "streamline operations" by reducing its engineering workforce.

While acknowledging that the report may suggest downside risks to the bank's advertising revenue growth forecast for the third and fourth quarters, the bank said it expects social commerce and short video product Reels revenue to be the growth drivers this year.