China-based Geely Automobile Holdings Ltd. (HK:0175) has set a target of achieving annual sales of 5 million cars by 2027. This marks a huge jump of almost 80% from Geely’s 2023 sales of 2.79 million units. To reach this target, the company plans to streamline its numerous passenger car brands into two main units: Geely Auto and Zeekr Technology. These will focus on the mass market and premium segments, respectively. Geely’s shares gained 0.42% as of writing.
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Geely is a Chinese conglomerate that is engaged in the manufacturing and sale of automobiles. The company owns multiple brands such as Geely Auto, Zeekr, Lynk & Co., etc.
Geely Sets Ambitious Goal to Boost Sales
Recently, Geely presented its strategic plan, highlighting its goals for the next three years. The company expects its vehicle sales to surpass 5 million units by 2027, aiming to establish itself among the top 10 automakers globally. It also plans to establish itself in electrification and intelligent transformation and gradually build a competitive green intelligent mobility ecosystem.
Additionally, the company plans to strengthen the alignment of research and development across key technologies in seven areas, including vehicle architecture, smart driving, cockpit systems, and batteries. This move aims to eliminate redundant investments caused by separate R&D teams within each brand.
Geely Projects Strong Sales Surge in 2025
Last week, the company disclosed its numbers for December 2024. The company reported a growth of 43% year-over-year for total vehicle sales of 210,055 units in December, driven by strong demand for its electric and hybrid models. For 2025, the company aims for a 25% increase in sales volume, reaching 2.71 million units. Additionally, it targets 1.5 million units in new energy vehicle sales, reflecting a 69% rise compared to its 2024 performance in this segment.
Is Geely Stock a Good Buy?
According to TipRanks, 0175 stock has received a Strong Buy rating, backed by nine Buy recommendations. The Geely share price target is HK$17.57, which implies an upside of 24% from the current trading level.
