On May 20, Leapmotor rose 3.09% in regular trading, reaching HKD 42.72 with turnover of HKD 273 million, notably outperforming the broader auto sector which traded broadly lower.

The rebound comes after the stock suffered steep declines following its Q1 earnings release. While Q1 revenue reached RMB 10.82 billion (up 8% YoY) and global deliveries hit 110,155 units (up 25.8% YoY), gross margin declined to 9.4% and net loss widened to RMB 390 million, triggering a sharp sell-off earlier. However, strong operational momentum has since shifted sentiment: the flagship D19 model accumulated over 15,000 firm orders within just 15 days of launch, while overseas exports surged 442% YoY to approximately 40,200 units in Q1, representing 36% of total sales. In Italy, Leapmotor captured 33.5% market share among Chinese-brand BEVs. Multiple institutions, including CICC, have maintained their earnings forecasts unchanged and kept bullish ratings, citing the expected Q3 commissioning of Stellantis cooperation factories and anticipated gross margin recovery in Q2 as catalysts for profitability improvement.

Within the Automobile Manufacturers sector, the overall sector traded lower. Among peers, BYD Company down 3.3%, Geely Auto down 1.63%, Li Auto down 1.29%, XPeng down 0.94%, NIO down 2.92%.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)