- Hesai Group recently reported that it became the only lidar company included in Morgan Stanley’s “Humanoid Tech 25” list and surpassed 2 million cumulative automotive lidar deliveries, while holding the top ADAS main lidar market share for nine consecutive months.
- These achievements, supported by fully automated production lines capable of producing one lidar every 10 seconds and over 200,000 JT-series robotics lidar shipments, underscore Hesai’s operational scale and influence across both automotive and robotics applications.
- We’ll now examine how Hesai’s inclusion in Morgan Stanley’s “Humanoid Tech 25” may reshape its existing investment narrative and growth assumptions.
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Hesai Group Investment Narrative Recap
To own Hesai Group, you need to believe lidar can move from niche technology to a core component of mass market ADAS and robotics platforms, and that Hesai can keep a leading share while staying profitable. The Morgan Stanley “Humanoid Tech 25” recognition and 2 million unit milestone reinforce that positioning, but do not materially change the key near term catalyst, which remains execution against Hesai’s high 2025 revenue and earnings guidance, or the biggest risk, margin pressure from aggressive pricing and heavy capacity investments.
In that context, Li Auto’s decision to use Hesai as the exclusive lidar supplier for its next generation assisted driving platform looks especially important, because it links Hesai’s ADAS market share lead and high volume production capacity to a concrete, multi model deployment. This kind of anchor customer relationship can help absorb expanded capacity and support the company’s revenue targets, while also heightening the risk if dependence on a concentrated set of major clients clashes with pricing pressure or changing order patterns.
Yet while scale and accolades look encouraging, investors should be aware that concentration in a few key customers could...
Read the full narrative on Hesai Group (it's free!)
Hesai Group's narrative projects CN¥7.5 billion revenue and CN¥1.3 billion earnings by 2028. This requires 44.3% yearly revenue growth and an earnings increase of about CN¥1.2 billion from CN¥103.1 million today.
Uncover how Hesai Group's forecasts yield a $29.83 fair value, a 38% upside to its current price.
Exploring Other Perspectives
Eighteen Simply Wall St Community valuations for Hesai span a wide US$3.53 to US$55.50 per share, showing how far opinions can spread. Against that backdrop, the company’s reliance on aggressive lidar pricing and heavy capacity expansion raises real questions about how sustainably it can turn scale into durable profitability, so it is worth exploring several viewpoints before forming a view.
Explore 18 other fair value estimates on Hesai Group - why the stock might be worth less than half the current price!
Build Your Own Hesai Group Narrative
Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.
- A great starting point for your Hesai Group research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.
- Our free Hesai Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Hesai Group's overall financial health at a glance.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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