BYD SEAL 2023 Test Drive Day teddyleung/iStock Editorial via Getty Images Record second-quarter sales numbers from China further ratified the rising dominance of the nation’s auto industry and, in particular, that of BYD ( OTCPK:BYDDY ) – whose global deliveries of battery-electric vehicles (BEVs) edged closer to that of Tesla. BYD Quarterly Sales Increases (Bloomberg) The growing anxiety among nations and incumbent automakers such as Volkswagen AG ( OTCPK:VWAGY ) and General Motors Co. ( GM ) is reflected by the recent increases in tariffs in the U.
S. and Europe meant to slow the rapid growth of Chinese car brands in developed markets. For investors, key issues are how to benefit from what looks like a long-term, sustainable trend toward Chinese auto ascendancy and how to avoid losses from those automakers that will be hurt as BYD and others rise.
Fully priced? According to Seeking Alpha’s valuation chart , BYD looks fully priced at a trailing twelve-month P/E of 21, compared to valuations of GM, 5.7, Ford Motor Co. ( F ) 13.
3; Stellantis N.V. ( STLA ) 2.
98; and Toyota Motor Corp. ( TM ) 8.45.
(Tesla’s TTM PE of 67 may safely be considered an outlier) However, BYD’s profitability is impressive among the world’s top automotive manufacturers, according to the Seeking Alpha’s profitability table . The big upward move in BYDDY happened in early 2020 through early 2021 when the share prices rose from roughly $10 to about $70. For the past three years, the share pric.