Derivatives and Quantitative Strategist

Gaudenz Schneider

Equity Derivatives

<ul>
<li>
Bearish fundamental views are strengthening: Recent Smartkarma Insights argue <a href="https://www.smartkarma.com/entities/byd-co-ltd-h" target="_blank" data-smartkarma-citation="entities:20962:1" rel="noopener">BYD (1211 HK)</a> is overvalued, with slowing sales growth and valuation multiples pointing to limited upside.</li>
<li>
Call overwriting offers efficient yield: Implied volatility in the mid-30s enables attractive income generation.</li>
<li>
Strike and expiry selection matter: Short-dated December options provide the best liquidity, while higher strikes balance premium income with room for near-term upside.</li>
</ul>



Bearish fundamental views are strengthening: Recent Smartkarma Insights argue BYD (1211 HK) is overvalued, with slowing sales growth and valuation multiples pointing to limited upside.

Call overwriting offers efficient yield: Implied volatility in the mid-30s enables attractive income generation.

Strike and expiry selection matter: Short-dated December options provide the best liquidity, while higher strikes balance premium income with room for near-term upside.


BYD (1211 HK): Leverage Softening Fundamentals with Short Calls

Asian Insight Provider - Actionable ideas, CrossASEAN Research

Henry Soediarko

Asian Insight Provider - Actionable ideas

CrossASEAN Research

At CrossASEAN Research we strive to produce unbiased and differentiated on the ground insights on companies across South East Asia. Our Research is produced for the most part after face to face meetings and conversations with company management to dig deep into the long term vision and strategy of the companies we cover. We seek to deliver investable and actionable themes on sectors and markets across SE Asia, often in collaboration with other Insight Providers across the region, pooling the vast experience of the analysts within the Smartkarma Ecosystem. We also offer bespoke work and tailor made trips for our clients. 

Insights across South East Asia

Equity Bottom-Up

<ul>
<li>
<a href="https://www.smartkarma.com/entities/byd-co-ltd-h" target="_blank" data-smartkarma-citation="entities:20962:1" rel="noopener">BYD (1211 HK)</a> has produced an enviable growth rate for the last 2 decades in the NEV sector. </li>
<li>
<a href="https://www.smartkarma.com/entities/berkshire-hathaway-inc-cl-a" target="_blank" data-smartkarma-citation="entities:1044:1" rel="noopener">Berkshire Hathaway Inc Cl A (BRK/A US)</a> has completed selling all its holding in BYD. </li>
<li>The growth rate is no longer as high as before, and therefore demands a new way to evaluate the stock as its PEG increases. </li>
</ul>



BYD (1211 HK) has produced an enviable growth rate for the last 2 decades in the NEV sector. 

Berkshire Hathaway Inc Cl A (BRK/A US) has completed selling all its holding in BYD. 
The growth rate is no longer as high as before, and therefore demands a new way to evaluate the stock as its PEG increases. 


Quantitative Researcher, MRM Research

Nico Rosti

Quantitative Researcher

MRM Research

Quantitative Research

<ul>
<li>
<a href="https://www.smartkarma.com/entities/byd-co-ltd-h" target="_blank" data-smartkarma-citation="entities:20962:1" rel="noopener">BYD (1211 HK)</a> does not seem ready yet to reverse its downtrend, sentiment is still negative (not too negative), Q3 revenues decreased (no surprise, as recently noted by <a href="https://www.smartkarma.com/profiles/ming-lu" target="_blank" data-smartkarma-citation="accounts:2496" rel="noopener">Ming Lu</a>).</li>
<li>
<a href="https://www.smartkarma.com/entities/byd-co-ltd-h" target="_blank" data-smartkarma-citation="entities:20962:1" rel="noopener">BYD</a> is short-term OVERSOLD, this is a tactical WEEKLY view presenting an actionable opportunity with a 1-3 week trade horizon (probably a 2 weeks rebound, maximum).</li>
<li>Our quantitative models say the stock will not correct for more than 3 weeks when this pattern is encountered (the stock is currently in its second consecutive week down).</li>
</ul>



BYD (1211 HK) does not seem ready yet to reverse its downtrend, sentiment is still negative (not too negative), Q3 revenues decreased (no surprise, as recently noted by Ming Lu).

BYD is short-term OVERSOLD, this is a tactical WEEKLY view presenting an actionable opportunity with a 1-3 week trade horizon (probably a 2 weeks rebound, maximum).
Our quantitative models say the stock will not correct for more than 3 weeks when this pattern is encountered (the stock is currently in its second consecutive week down).


BYD (1211 HK) Tactical Outlook: Still Downtrending, But OVERSOLD

Overseas Chinese Equities, Aequitas Research

Ming Lu

Overseas Chinese Equities

IPOs and Placements coverage across Asia Pacific

Aequitas Research

We cover all listing across the Asia Pacific along with follow-up placements. As of Dec 2020, our team had covered 539 IPOs with a hit rate of 73.5% and 685 placements with a hit rate of 66.8%.

We combine fundamental bottom-up views with our proprietary quantitative framework to provide a holistic coverage across new listings and placements. Our coverage includes pre-IPO notes before the deal is launched, follow-up analysis once the deal is live and post-listing trading analysis as well.

<ul>
<li>It is no surprise that BYD’s revenue decreased YoY in 3Q25 according to our previous sales volume note.</li>
<li>The quarter-over-quarter margin improvement is not about seasonality, but about a sign of the margin recovery in 2026.</li>
<li>We believe the stock has a downside of 25% for 2026.</li>
</ul>


It is no surprise that BYD’s revenue decreased YoY in 3Q25 according to our previous sales volume note.
The quarter-over-quarter margin improvement is not about seasonality, but about a sign of the margin recovery in 2026.
We believe the stock has a downside of 25% for 2026.


BYD (1211 HK): 3Q25, No Surprise, Revenue Down for First Time

<ul>
<li>
Context: Several of Hong Kong’s largest companies will report in the coming days, representing 27% of the <a href="https://www.smartkarma.com/entities/hong-kong-hang-seng-index" target="_blank" data-smartkarma-citation="entities:22899:1" rel="noopener">Hang Seng Index (HSI)</a>.</li>
<li>
Highlight: This Insight identifies which stocks have option-implied swings deviating from historical averages.</li>
<li>
Why Read: Prepare for earnings season by understanding where single-stock and broader market volatility may be elevated.</li>
</ul>



Context: Several of Hong Kong’s largest companies will report in the coming days, representing 27% of the Hang Seng Index (HSI).

Highlight: This Insight identifies which stocks have option-implied swings deviating from historical averages.

Why Read: Prepare for earnings season by understanding where single-stock and broader market volatility may be elevated.


BYD (1211 HK) And JD.com (9618 HK) Lead Expected Swings as 27% of HSI Reports Before Month-End

China

BYD Company Limited manufactures automotive products. The Company produces ordinary passenger cars, commercial vehicles, and other products. BYD also operates battery making, rail transportation construction, and other businesses.

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BYD (002594 CH)

BYD (1211 HK): Leverage Softening Fundamentals with Short Calls

Amid bearish views, a targeted call-overwrite strategy delivers efficient yield through well-chosen strikes and expiries.

Gaudenz Schneider

BYD (1211): Time to Sell

BYD's impressive growth in NEV sector faces new evaluation challenges as Berkshire Hathaway exits its holdings. Time to sell as growth rate fell.

Henry Soediarko

BYD (1211 HK) Tactical Outlook: Still Downtrending, But OVERSOLD

BYD (1211 HK) is still in a downtrend, sentiment still negative, but our model says it is short-term oversold: this is a tactical buy opportunity...

Nico Rosti

BYD (1211 HK): 3Q25, No Surprise, Revenue Down for First Time

No surprise that BYD’s revenue decreased YoY in 3Q25 according to our previous sales volume note. The QoQ margin improvement is a sign of the...

Ming Lu

BYD (1211 HK) And JD.com (9618 HK) Lead Expected Swings as 27% of HSI Reports Before Month-End

Spot the Swing: Some of Hong Kong’s biggest names — HSBC, Ping An, Bank of China, ICBC, China Construction Bank, BYD, and AIA Group — report this...

Gaudenz Schneider

Price Gauge

52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

BYD (1211 HK): Leverage Softening Fundamentals with Short Calls

Amid bearish views, a targeted call-overwrite strategy delivers efficient yield through well-chosen strikes and expiries.

Gaudenz Schneider

BYD (1211): Time to Sell

​BYD's impressive growth in NEV sector faces new evaluation challenges as Berkshire Hathaway exits its holdings. Time to sell as growth rate fell.

Henry Soediarko

BYD (1211 HK) Tactical Outlook: Still Downtrending, But OVERSOLD

​BYD (1211 HK) is still in a downtrend, sentiment still negative, but our model says it is short-term oversold: this is a tactical buy opportunity...

Nico Rosti

BYD (1211 HK): 3Q25, No Surprise, Revenue Down for First Time

No surprise that BYD’s revenue decreased YoY in 3Q25 according to our previous sales volume note. The QoQ margin improvement is a sign of the...

Ming Lu

BYD (1211 HK) And JD.com (9618 HK) Lead Expected Swings as 27% of HSI Reports Before Month-End

Spot the Swing: Some of Hong Kong’s biggest names — HSBC, Ping An, Bank of China, ICBC, China Construction Bank, BYD, and AIA Group — report this...

Gaudenz Schneider

BYD's impressive growth in NEV sector faces new evaluation challenges as Berkshire Hathaway exits its holdings. Time to sell as growth rate fell.

BYD (1211 HK) is still in a downtrend, sentiment still negative, but our model says it is short-term oversold: this is a tactical buy opportunity...