Mexican Media Brands
Shares Plunge for China’s BYD, Geely
Investors mounted huge selloffs of shares in Geely Automobile Holdings Ltd. and BYD Co. this week, apparently over concerns about the profit prospects for both carmakers.
#economics
Share
Investors mounted huge selloffs of shares in Geely Automobile Holdings Ltd. and BYD Co. this week, apparently over concerns about the profit prospects for both carmakers.
On Wednesday shares in Geely fell 22% to HK$2.43 after the company warned its net income could plunge 50% this year. The company cited exchange losses with Russia, whose ruble has plummeted more than 40% in value in the past six months.
On Thursday shares of electric carmaker BYD sank as much as 47% during a wave of panic selling. Shares rallied late in the day to close at HK$25.05, down 29%.
BYD's management says it is not aware of a reason for the sharp decline. Analysts theorize the drop may signal lost confidence in the company's EV sales as the price of gasoline for conventional cars continues to fall. Sales of BYD's piston-powered cars also have weakened.
RELATED CONTENT
-
On Quantum Navigation, EVs, Auto Industry Sales and more
Sandia’s quantum navi, three things about EVs, transporting iron ore in an EV during the winter, going underwater in an EV (OK, it is a sub), state of the UK auto industry (sad), why the Big Three likes Big Vehicles, and the future of logistics.
-
On The German Auto Industry
A look at several things that are going on in the German auto industry—from new vehicles to stamping to building electric vehicles.
-
Achieving Efficiency?
A look at on-road fuel economy changes over 92 years.