Should I buy Geely stock in 2025? South Africa Investment Insights

What is Geely?

How much is the Geely stock?

The price of Geely stock is falling this week. As of now, the share is trading at 17.30 HKD (about 2.23 USD), reflecting a 2.26% decrease over the past 24 hours and an 11.35% drop for the week. Geely’s market capitalisation stands at 178.5 billion HKD, with an average three-month volume of 44,380 shares. The stock posts a P/E ratio of 10.02, a dividend yield of 1.84%, and a beta of 1.14, indicating moderate sensitivity to market swings. While recent losses highlight short-term volatility, ongoing electric vehicle expansion keeps Geely on the radar for long-term investors in South Africa exploring international growth opportunities.

Our full analysis on the Geely stock

Having reviewed Geely Automobile Holdings Limited's latest financial disclosures and the stock's robust trajectory over the past three years, we have integrated a diverse array of financial metrics, technical indicators, and peer benchmarking through proprietary analytics. This multidimensional view draws upon both market data and strategic developments. So, why might Geely stock once again become a strategic entry point into the global automotive technology sector in 2025?

Recent Performance and Market Context

Geely’s share price currently stands at HKD 17.30, equivalent to approximately USD 2.23 (as of 30 May 2025), positioning itself closer to the upper end of its 52-week range (HKD 7.31–20.90). Over the past six months, Geely stock has delivered a compelling return of +30.23%, with its one-year performance surging by +81.50%. This outperformance is especially notable given the heightened volatility experienced by Chinese equities as a whole in the same period. Recent softness over the last week (-11.35%) is largely attributable to broader sectoral pullbacks and profit-taking, but also suggests a potential technical reset that may favour value-driven entry.

Multiple constructive events have underpinned the stock’s renewed momentum. The Q1 2025 results shattered market expectations, highlighted by net attributable profit growth of +264% year-on-year—a testament to resilient operational execution and the successful rollout of electric and new energy vehicle (NEV) lines. Additionally, Geely’s 2024–2025 strategic actions, such as securing a 51% stake in Lynk & Co through ZEEKR, bolstering international exports (+57% YoY), and deepening partnerships (notably with Renault for low- and zero-emission vehicles in Latin America), all reinforce the group’s commitment to global leadership in next-generation mobility.

From a macro perspective, Geely benefits materially from the ongoing rebalancing of the global automotive industry towards electrification, as well as robust industry tailwinds in emerging markets. The global push to decarbonise transport and expanding middle-class demand supplement the company’s external market opportunities. In the context of South African investors, these factors are particularly relevant as the continent increasingly aligns with global sustainability trends and open-market capital flows continue to target innovative growth stories.

Technical Analysis

Recent technical signals surrounding Geely indicate a market in transition, one with the potential to reset and offer a more attractive risk/reward entry point. The Relative Strength Index (RSI) sits at 25.79, confirming a technical oversold condition. This suggests that the recent sell-off may not be grounded in changed fundamentals, but rather reflects near-term market dislocation and sector-specific corrections.

The MACD (-0.45) and a battery of moving averages (MA5 – HKD 17.54; MA20 – HKD 17.80; MA50 – HKD 19.03; MA200 – HKD 17.39) all presently flag a short-term bearish posture. However, the convergence of the current price near the pivotal support level of HKD 17.16 adds weight to the scenario of a technical rebound. Historically, sharp pullbacks towards major supports—especially when aligned with improving medium-term fundamentals—have proven to be valuable entry points. The next pivots are clearly defined: immediate resistance emerges at HKD 18.08, with a more substantial challenge at HKD 20.90 (52-week high). Should the stock maintain stability above support, and with improving sentiment, a reversal towards the 22.49 HKD target appears plausible.

Momentum dynamics in the short to medium term are therefore transitioning. For active investors attentive to technical inflections, such environments present opportunities to enter ahead of an anticipated price recovery, especially with underlying corporate catalysts set to materialise.

Fundamental Analysis

Geely’s fundamentals remain notably robust and are a primary consideration in the stock’s renewed attractiveness:

• Revenue Growth: Q1 2025 revenue of 72.5 billion RMB marks a 25% year-on-year increase. This outpaces many global peers and establishes Geely as a high-momentum player in the evolving auto landscape.
• Profitability: Net profit surged by an impressive 264% year-on-year, with margins (gross margin: 15.8%; net margin: 8.15%) indicating sustained pricing power amid a period of intense competition. A return on equity (ROE) of 23.97% further confirms capital efficiency.
• Scale and Expansion: Q1 vehicle sales grew 48% to over 70 million units, bolstered by surging demand for NEVs (+214%). Strategic expansion into Middle Eastern and Latin American markets enhances currency and market diversification. The Zeekr brand, following its acquisition of Lynk & Co control, now spearheads the push into premium EV segments, raising the group’s global profile.
• Valuation: At a trailing P/E of 10.02 and price-to-book of 1.91, Geely appears undervalued relative to sector peers, especially in light of its growth trajectory and differentiated technology offering. The forward-looking 30% upside (price target: 22.49 HKD) further strengthens the investment case.
• Market Share & Brand Power: Geely’s multi-brand architecture—encompassing Zeekr, the core Geely marque, and Lynk & Co—delivers end-to-end coverage from entry-level to premium, while strategic alliances (Volvo, Renault) de-risk innovation and underpin ongoing R&D investment.

The stock’s fundamentals strongly justify renewed institutional and retail investor interest, especially in portfolios seeking exposure to the secular transition toward sustainable mobility solutions.

Volume and Liquidity

Geely stock exhibits healthy market liquidity, with a 3-month average daily volume of 44,380 shares and a sizeable free float of 6.44 billion shares. Capital structure remains robust: a notable 42.68% insider participation ensures alignment of interests, while 21.40% institutional ownership reflects growing external confidence.

Sustained volume is a hallmark of deep market conviction and facilitates dynamic price discovery. For South African investors, who may often contend with less liquid offshore offers, Geely’s active trading profile enhances its appeal as it allows for efficient entry and exit, as well as reliable price transparency.

The solid float, bolstered by a significant capitalization (HKD 178.5 billion), positions Geely for further re-rating as the market absorbs upcoming catalysts and as liquidity rotates into stocks offering clear growth and innovation narratives.

Catalysts and Positive Outlook

Several powerful catalysts converge to underpin Geely’s near- and medium-term outlook:

• Product Pipeline: Zeekr’s planned launch of 5 new EV models in 2025, high-profile roll-out of advanced autonomous driving systems across all brand subsidiaries, and continually expanding smart mobility portfolio point to a year of accelerated innovation.
• Strategic M&A: The recent Zeekr-Lynk & Co integration enhances scale in the premium EV domain, paving the way for robust synergies and market share gains.
• Geographic Growth: Geographic expansion (Europe, Middle East, Latin America) reduces dependence on domestic demand, taps into global growth pools, and provides insulation against regulatory risk in any one market.
• ESG Momentum: The group’s “Smart Geely 2025” plan underscores a transition toward electrification and sustainable mobility—key considerations for ESG-focused portfolios, including those in Africa’s rapidly urbanising economies.
• Regulatory Environment: Supportive policy frameworks for EV adoption, both in China and increasingly worldwide, serve as a structural tailwind. The Renault partnership in Brazil marks a template for future cross-border alliances enabling rapid market penetration.
• Market Sentiment: Despite recent technical caution, consensus among major analysts is overwhelmingly constructive (Macquarie maintains a “Buy” stance), while recent earnings beats have helped anchor upward market expectations.

Collectively, these catalysts position Geely not just as a cyclical rebound candidate, but as a structural growth leader in the global technological transformation of mobility.

Investment Strategies

Geely’s technical setup and multi-layered fundamental strengths support a range of strategic approaches:

• Short-term Entry: For traders and tactical investors, Geely’s entry into technical oversold territory at support (~HKD 17.16) offers an attractive position for a bounce, particularly as technical oscillators begin to stabilise. This is evidenced by both historical price action and the receding of near-term risks.
• Medium-term Positioning: Investors seeking exposure to catalysts—such as new model launches, subsequent quarterly earnings, and international partnership developments—may find the current level prior to these events particularly attractive. Accumulating ahead of tangible milestones (including the next earnings release set for mid-late August 2025) could confer a material advantage, as positive operational surprises are priced in.
• Long-term Hold: For those with a multi-year horizon, Geely’s sectoral leadership, growing cash flows, expanding ROE, and unique positioning within the global EV/NEV megatrend argue for a structural overweight. The stock’s current valuation multiple is well below its historical peak and global EV peers, providing a margin of safety that aligns with prudent long-term investing principles.
• Portfolio Diversification: With its significant presence in China—a critical market for many South African portfolios seeking diversification beyond home borders—and increasing global relevance, Geely delivers meaningful non-correlated growth potential.

Across all horizons, valuation at or near technical lows, combined with a pending series of operational catalysts and improving sector sentiment, seems to represent an excellent opportunity to initiate or add to positions.

Is It the Right Time to Buy Geely?

To summarise, Geely Automobile Holdings stands at the confluence of rare technical appeal and formidable fundamental strength:

• Earnings and revenue growth surging at a pace unmatched by most global auto majors.
• Active engagement in global markets, with deep forays into premium segments (Zeekr, Lynk & Co) and mass-market innovation.
• Discounted valuation metrics relative to sector peers, suggesting the stock may be entering a new bullish phase.
• Major catalysts—autonomous tech roll-out, new model launches, M&A synergies, international expansion—poised to drive upward revision in market expectations.
• Underscored liquidity and active float combine with high insider alignment to build trust and sustain positive momentum.

While technical volatility may persist short-term, these fluctuations are increasingly unmoored from underlying fundamentals. For South African investors seeking growth vehicles outside local markets, Geely presently delivers a rare blend of strong financials, innovative drive, geographic diversification, and compelling valuations.

With foundational strengths amply evident and a suite of high-impact catalysts on the horizon, Geely seems to represent an excellent opportunity for investors aiming to capture value at a pivotal moment for both the company and the wider future mobility sector. This is a stock that deserves close attention and, for those who embrace the global technology transformation, potentially an assertive place within a diversified, forward-looking portfolio.

How to buy Geely stock in ZA?

Buying Geely stock online is simple, secure, and accessible for South African investors through regulated international brokers. You have two main ways to invest: a direct (“spot”) purchase of Geely shares, or trading Contracts for Difference (CFDs), which allow you to speculate on Geely’s share price moves with leverage. Both methods are available via user-friendly online platforms that ensure investor protection and clear fee structures. Each approach has its own profile in terms of risk and potential return—see our broker comparison further down the page for details on finding the best provider for your needs.

Spot buying

When you buy Geely shares for cash (“spot buying”), you become a direct shareholder in Geely Automobile Holdings Limited. Most reputable brokers charge a fixed commission per order, typically between R50–R200 (or around $5–$10), plus minor currency conversion fees for Hong Kong-listed shares.

Example

For example, if Geely’s latest share price is 17.30 HKD (about $2.23 or ~R40.50 per share), a $1,000 investment (about R18,000) lets you buy roughly 445 shares, after accounting for a $5 brokerage fee.

✔️ Gain scenario: If Geely’s price rises by 10%, those shares would be worth $1,100 (R19,800), giving you a gross profit of $100, or +10% on your original outlay.

Trading via CFD

CFD (Contract for Difference) trading lets you speculate on the price movement of Geely shares—up or down—without owning the underlying asset. CFD brokers typically charge a spread (the small difference between buy and sell prices) plus overnight financing if you keep leveraged positions open after hours.

Example

Suppose you open a CFD position on Geely with a $1,000 stake at 5x leverage. This gives you market exposure of $5,000 (roughly R90,000), amplifying both potential gains and risks.

✔️ Gain scenario: If Geely’s share price rises by 8%, your CFD position gains 8% × 5 = 40%. That means a $400 profit on your $1,000, before fees.

Final advice

Before you invest, it’s crucial to compare different brokers’ fee structures, platform features, and support for international shares like Geely. Your choice between cash stock purchase and CFD trading should be guided by your risk appetite, investment horizon and objectives. For a breakdown of the best brokers for South Africans—including their costs and account requirements—consult our detailed comparison further down the page. Buying Geely shares is truly within everyone’s reach, whatever your preferred investment style!

Our 7 tips for buying Geely stock

The latest news about Geely

Geely has delivered an outstanding Q1 2025, with net profit surging by 264% year-on-year. This performance was supported by a remarkable 25% rise in revenue and an impressive 48% increase in sales volume, far exceeding analyst expectations. These strong results reinforce investor confidence in the group’s operational execution, leadership in new energy vehicles (NEV), and the growth potential of its premium segment through brands such as ZEEKR. For South African analysts, Geely’s profitability trajectory highlights a robust foundation for future expansions that could impact the local auto market through competitive pricing or new product offerings.

The company is accelerating its international expansion, reporting 57% growth in exports and increased market penetration in the Middle East. This strategic drive positions Geely to capture global value chains beyond China, which is of particular interest to Southern African investors as it demonstrates resilience and revenue diversification. The Middle East expansion can serve as a blueprint for further ventures into emerging markets like South Africa, especially as local consumers and fleets show growing interest in affordable, innovative vehicles and clean technology options.

Geely’s advanced electrification strategy is delivering record growth, with NEV sales up 214% in Q1 and ZEEKR planning to launch five new models in 2025. This focus on smart mobility and sustainable transport puts Geely at the forefront of sectoral shifts that are also relevant to the ZA policy landscape, where government and industry stakeholders increasingly prioritize electric mobility. In addition, the group’s global partnerships—such as the framework agreement with Renault to produce low-emission vehicles in Brazil—underline its commitment to cross-border technology integration, which may be mirrored in future collaborations with African companies or regulatory bodies.

Despite the fundamental strength, technical indicators currently remain negative, suggesting a short-term consolidation phase. The Relative Strength Index (RSI) is at 25.79, signaling the stock is in oversold territory, and all major moving averages indicate selling pressure. For South African portfolio managers, this technical setup may represent a tactical entry window for long-term exposure to a global EV leader, provided they are mindful of short-term volatility and external shocks.

Macquarie and other institutional analysts maintain a ‘Buy’ recommendation, supported by attractive valuation metrics and ongoing innovation. Geely’s trailing P/E of 10.02, strong balance sheet, and a dividend yield near 1.84% provide a compelling case for value-oriented investors. Institutional ownership at over 21% further shows high confidence among global funds, while high insider shareholding aligns management’s interests with shareholders. As South Africa’s market embraces more global auto sector innovation, these factors position Geely as a strong consideration for local fund allocation and partnership prospects.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.