HSBC Research published a research report stating that mainland passenger vehicle demand began to rebound in August, with a total sales volume of 1.9 million vehicles in August in the Chinese automobile market, down 1% year-on-year, but up 11% month-on-month, performing better than the bank's forecast of a 9% year-on-year decline. Among them, new energy vehicles saw 1.0251 million pre-sales in August, a year-on-year and month-on-month increase of 43% and 17% respectively, with a single-month penetration rate of 53.7%.

HSBC Research expects that with the traditional peak season, numerous stimulus measures, and multiple bullish factors such as car manufacturers launching new models, including the demand for automobiles including new energy vehicles, will remain strong in September and October, with price expectations staying stable.

The bank still bullish on leading electric vehicle companies, especially those with many new models awaiting release, including XPeng (09868.HK)(XPEV.US), Nio Inc (09863.HK)(NIO.US), and BYD Company Limited (01211.HK), all rated as "buy", with target prices of 60 yuan, 55.8 yuan, and 322 yuan respectively.