GreenergyDaily

Mar. 9, 2026

Strong quarterly results expected from Contemporary Amperex Technology Co. Ltd. may widen its market-capitalization lead over electric-vehicle maker BYD Co., reinforcing the companies' diverging trajectories.

CATL may report a 32% year-on-year increase in sales for the December quarter, according to Bloomberg-compiled data, driven by strong energy storage orders from grid projects and artificial intelligence data centers. In contrast, BYD is expected to report its worst quarterly sales decline in five years later this month, as intense competition and sluggish consumption in China weigh on demand.

CATL and BYD were neck-and-neck in market capitalization until mid-2025, reflecting investors' equally strong confidence in China's battery and EV champions. Their paths began to diverge as sentiment improved toward upstream battery suppliers while the profit outlook for the EV sector deteriorated.

The batter maker's market value has climbed to 1.6 trillion yuan ($232 billion), putting it nearly $120 billion ahead of BYD.

"CATL's valuation premium suggests investors prefer battery‑focused models with greater exposure to energy storage system growth," said Gary Tan, a portfolio manager at Allspring Global Investments LLC. Signals that CATL is moving into "full ESS system integration, which could expand margins," would be another catalyst, he said.