BYD Hits New Low as Technical Oversold Clashes with Record Exports and a Dividend Promise

The contradictions at BYD are growing sharper by the day. The Chinese electric-vehicle giant has just launched a battery that can charge to 70% in five minutes, is pouring millions into a sprawling Brazilian factory, and is offering customers a delivery guarantee. Yet the stock keeps sinking. On Tuesday, shares touched a fresh 52-week low of €8.03, and they now trade at around €8.10 — a 26% decline since the start of the year and roughly 45% below the July 2025 high.

A Battery Breakthrough Overshadowed

The centerpiece of BYD’s current product offensive is the second-generation Blade battery, which the company is now racing to scale up in volume. The new pack supports an 800-volt architecture and can reach a 70% charge in just five minutes, with minimal degradation even in extreme cold. The battery debuts in the Seal 08 sedan, which officially goes on sale July 2 at a target price of approximately 250,000 yuan. To avoid the supply bottlenecks that have plagued earlier launches, BYD’s plants in Xixian and Xi’an are already running at full tilt.

To sweeten the deal, BYD is also rolling out a novel delivery guarantee: customers who wait more than 30 days for their Seal 08 will receive free fast-charging credits for each additional day of delay. And shareholders are being thrown a bone too. The annual general meeting approved a dividend of 0.358 yuan per share, payable on July 31.

Headwinds at Home and in Key Asian Markets

None of this is reassuring the market. The stock’s relative strength index has plunged to 18.7, deep in oversold territory, and the price is trading about 25% below its 200-day moving average of €10.80. The technical carnage reflects a fundamental disconnect: BYD is expanding aggressively overseas while its core business in China keeps losing steam.

Should investors sell immediately? Or is it worth buying BYD?

Domestic passenger-vehicle sales have fallen for eight consecutive months, and first-quarter net profit collapsed 55.4% year on year to 4.09 billion yuan. A brutal price war and the removal of tax breaks for short-range hybrids are squeezing margins. The situation is compounded by setbacks in two of Asia’s most important EV markets. South Korea has excluded several BYD models from its state subsidy program, while Japan has introduced new eligibility criteria that favor automakers with domestic battery production — a direct blow to BYD’s import-dependent strategy.

A Billion-Reais Bet on Brazil

Yet the company is doubling down on Latin America. At its former Ford plant in Camaçari, BYD is building out capacity with the goal of achieving 50% local content for vehicles produced in Brazil by early 2027. That would shield it from import duties on kits and unlock local tax incentives. The factory is also getting a 500-million-reais (€88 million) production line for stationary battery storage systems, designed to stabilize the national grid and serve solar and wind power producers. Long term, the site is expected to generate up to 20,000 jobs.

What Could Break the Spell?

BYD’s export numbers hit a record 160,644 units in May, and the Seal 08’s launch next week could provide a short-term catalyst. But the market is waiting for hard evidence of a margin recovery. The next major checkpoint is August 28, when BYD reports second-quarter earnings. Analysts currently expect full-year earnings per share of 4.38 yuan.

BYD at a turning point? This analysis reveals what investors need to know now.

For now, the only technical support level that matters is the new 52-week floor at €8.03. Until profits and sales show a real turnaround, even a five-minute charge won’t be enough to recharge investor confidence.

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