BYD’s Great Tang Pre-Orders Top 150,000, Yet Stock Stalls Near Yearly Low as Expansion Costs Mount
Published on 06/20/2026 at 18:06 | Redaktion boerse-global.de
The Chinese electric-vehicle giant is living a tale of two realities. On one hand, BYD’s order book for its new European flagship SUV — the seven-seat Great Tang — is overflowing, with more than 150,000 pre-orders since its mid-June launch. On the other, its shares closed Friday at €8.90, barely a whisker above the €8.82 yearly trough, extending a roughly 35% slump over the past twelve months. The gap between operational momentum and market sentiment has seldom been wider.
BYD is charging hard into Europe to offset a deepening home-market drag. Its new plant in Hungary is nearing completion, and the company is also rolling out 300 fast-charging stations in the UK over the next nine months. The Goodwood Festival of Speed in July will host the largest BYD stand in the event’s history — over 2,000 square metres — featuring not only the main brand but also the Yangwang line and the official UK market launch of the premium Denza division. Overseas sales hit 160,000 vehicles in May, a sharp year-on-year increase, and the Great Tang’s pre-order surge gives management a crucial tool to optimise factory utilisation and lower fixed costs.
Yet the domestic picture is deteriorating. China sales collapsed 24% in May, marking the thirteenth consecutive monthly decline. Exports jumped 80% in the same period, but that was not enough to prevent overall worldwide sales from barely inching higher. Political headwinds are also piling up: the US government recently placed BYD on a list of companies alleged to have ties to the Chinese military, and Turkey revoked key tax exemptions for the carmaker’s imports.
Should investors sell immediately? Or is it worth buying BYD?
To boost global brand recognition, BYD is exploring an entry into Formula One. A full works team appears unlikely given the prohibitive costs — new entrants often face three-digit million-euro fees, plus the expense of factories and wind tunnels. A pure sponsorship deal, typically costing tens of millions annually for a seat at an established team, would be a safer bet, avoiding the FIA’s strict technical regulations. But the move carries risks: existing powerhouses such as Ferrari, Mercedes and Ford already dominate the paddock, and any alliance could spark competitive friction.
For now, the stock remains deep in oversold territory. The relative strength index has plunged to 25.6, technically signalling a short-term bounce might be due, but the gap to the 200-day moving average is still enormous. CEO Wang Chuanfu has called the equity undervalued and urged patience, reiterating his ambition for BYD to become the world’s largest automaker by volume by 2030. That vision demands heavy spending — on R&D, European factories and now potentially motorsport marketing — which is squeezing margins and weighing on the balance sheet.
The critical test ahead is execution. BYD must convert its mountain of Great Tang pre-orders into timely deliveries without triggering customer dissatisfaction or supply-chain snags. If the production ramp-up in Europe runs smoothly, the company can reduce its dependence on the fiercely competitive Chinese market. But should the share price slide below the €8.82 support level in the coming days, chart watchers warn of further downside. The marketing blitz, from Goodwood to a possible F1 sponsorship, needs to translate into measurable European sales before the market grants BYD any reprieve.
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