Risk factor
Very high price volatility
Profitability factor
Excellent dividends
About
Brilliance China Automotive Holdings Limited functions primarily as an investment holding company, with significant operations in the manufacturing and distribution of BMW-branded vehicles and a comprehensive array of automotive components. The company's reach spans both the People's Republic of China and international markets. Its vehicle portfolio includes a variety of minibuses sold under names such as JinBei, Renault, Haise, Grand Haise, and Granse, in addition to multi-purpose vehicles (MPVs) marketed under the Huasong brand. A key segment of its business also involves producing automotive parts, which encompass items like moldings, seating systems, axles, advanced safety and airbag modules, interior trim products, and engines designed for a broad spectrum of vehicles, including minibuses, sedans, sport utility vehicles, and light-duty trucks. Notably, Brilliance China is also a supplier of BMW Sport Activity Vehicles. Beyond its manufacturing endeavors, the group provides auto-financing services to both its customer base and dealer network. The company, established in 1992 and headquartered in Central, Hong Kong, benefits from crucial strategic partnerships with leading automotive and technology firms, including BMW, Toyota, Magna, Bosch, Continental, Delphi, TI Automotive, and Johnson Controls.
Company Valuation
From both historical and forecast perspectives, the stock is fairly priced compared to similar stocks. Specifically, the stock is 'cheap' on P/E, neutral on EV/EBITD.
Target Price
The average target price of 1114.HK is 3.3 and suggests 21% upside potential. Usually, this means a BUY recommendation among investment firms, or a recommendation to incr