Aug. 7 at 12:26 PM
$WRD I’d appreciate some feedback on the valuation framework I’m working on for my updated investment report.
I’m using a SOTP approach rather than applying 1 consolidated revenue multiple to WeRide. Robotaxi, Robobus, RoboSweeper, Robovan and WePilot/Physical AI are valued separately, reflecting differences in maturity, capital intensity, growth potential and operating leverage.
The model uses 2027E revenue. I deliberately kept the forecast horizon relatively short. I built the estimates from a 2025 base and, given the limited longer-term guidance from management, I believe extending detailed forecasts much further would introduce more assumption risk than useful precision.
My current base-case multiples range from 4.5x for RoboSweeper to 8.5x for WePilot/PhysicalAI, with Robotaxi at 7.5x. Combined, this produces an operating EV of roughly RMB 24B, or about 7.2x 2027E revenue. After liquidity and debt, the framework implies:
Downside: ~
$7.50
Base: ~
$11.58
Upside: ~
$16.00
>