Bank of America Securities released a research report stating that it has raised the target price for GAC Group (02238) from HK$3.5 to HK$3.6, while maintaining a "neutral" rating on its H-shares.
The report noted that GAC Group posted a net loss of RMB 1.8 billion in the second quarter, which fell short of market expectations. Taking into account the second quarter 2025 performance, the firm expects a full-year net loss of RMB 500 million for 2025. Consequently, the bank has lowered its earnings per share forecasts for 2026 and 2027 by 14% and 9% respectively.