BYD Launches Seal 07 Gen 2 as Piper Sandler Slashes Target to HK$74

BYD rolled out the second-generation Seal 07 in China on Thursday, offering the model with either a battery-electric or plug-in hybrid powertrain. The pure-electric version carries a claimed range of 775 kilometres on the CLTC test cycle and features the company's Flash Charging system. Prices under the limited-time trade-in programme start at RMB 135.900 and run to RMB 168.900 — a promotional window rather than a permanent sticker.

The launch landed in the same week that Piper Sandler cut its price target on the stock from HK$95 to HK$74, keeping a "Neutral" rating on the shares.

October Sales Set the Year's High

The model debut follows a strong October, with BYD reporting on 2 November sales of roughly 490,000 new-energy vehicles, including about 170,000 exports. The figures were unaudited and subject to revision. According to media reports, the monthly total came in just under 11% above the prior-year level and marked the highest reading of 2026, with overseas deliveries more than doubling. The October release was widely described as the key positive trigger behind the share price recovery that followed.

For the January-to-October period, however, BYD reported around 3.6 million vehicles sold — a decline of 2.16% year on year. Those numbers were likewise unaudited and subject to adjustment. Reuters, covering the October figures, pointed to sluggish demand in the Chinese home market and intense price competition.

Third-Quarter Profit Rises but Misses Hopes

Earlier, third-quarter 2026 results fell short of expectations for a stronger earnings rebound. Media reports attributed the shortfall to higher dealer discounts on older models, which weighed on average selling prices, along with concerns over margins in the overseas business. Net profit attributable to shareholders nonetheless climbed 28.08% to RMB 10.02 billion, while profit for January to September was down 4.24%.

Denials, Warnings and a Vivo Tie-Up

BYD spent the week batting down rumours and flagging fraud. On Wednesday it rejected online claims that production of its God's Eye C driver-assistance system had been halted, and denied any change to its intelligent-driving solutions, reaffirming a commitment to full in-house development. On Friday, according to media reports, it warned Chinese car owners about fake recall notices from scammers, stressing that official recalls are communicated through authorised dealers and require neither payment nor the sharing of sensitive bank details.

The company also disclosed a partnership with vivo covering the integration of smart devices and new-energy vehicles.