While I am slightly reducing my total exposure to the stock market in the current situation, due to the uncertain tariff situation and the overall market environment in terms of the debt situation in the US.
But that has no impact on one of my highest conviction holdings. BYD is an incredible company that is already well ahead of its European competitors and arguably Tesla. This is due to many factors: China's isolationist economy and cheap labor market, as well as BYD's visionary concepts.
BYD is in an excellent market position as the world's largest EV manufacturer, surpassing Tesla at the end of last year. And it shows no signs of slowing down: BYD has been growing at an impressive rate of more than 20% annually for the past several years, and this trend is expected to continue in the future. Something Tesla can only dream of. That's reflected in a forward P/E of around 20. Again, something that often disappointed Tesla investors can only imagine.
I will continue to buy every dip I can get my hands on. In my opinion, this is one of the most promising companies for the next few years in terms of the aggressively growing Chinese EV market, as well as BYD's global expansion.
