Daiwa raises the target price for SINOTRUK to 29.4 yuan, reiterates "Outperform the Market" rating

Daiwa published a research report stating that as the United States enters a loosening cycle, it is expected that the foreign demand for heavy trucks manufactured in China will remain strong next year, while the domestic trade-in stimulus policy will continue to drive domestic demand. The firm holds a positive attitude towards the industry-leading position of SINOTRUK (03808.HK) and anticipates that the company will further gain global market share.

The firm raised its revenue forecast for SINOTRUK for 2025 to 2027 by 0 to 1%, and the gross margin forecast was raised by 0.2 to 0.3 percentage points. The firm reiterated the company's "outperform the market" rating, with the target price raised from HKD 21.7 to HKD 29.4