Shares of Chinese battery giant Contemporary Amperex Technology (CATL) surged to a record high after the world’s largest electric-vehicle battery maker posted a strong profit estimate for 2019, reported Caixin.
The Shenzhen-listed company it expects to report a 20% to 45% increase in profit for 2019, it said Tuesday. Earnings will be RMB 4.06 billion to RMB 4.9 billion ($588 million to $709 million), CATL said.
The stock jumped by the 10% daily limit Wednesday to RMB 133.82. Over the past three months, the stock has surged 66%, boosting the battery maker’s market cap to RMB 296.5 billion, the highest on the Shenzhen Stock Exchange’s Nasdaq-style ChiNext board.
Based in the eastern Chinese city of Ningde, CATL supplies more than half of China’s electric-vehicle battery market. Its share in 2019 was 50.6%, up 9.3 percentage points from 2018, further distancing itself from rival BYD Co. Ltd. BYD took a 17.3% market share last year, down 2.7 percentage points.