The Tencent of Cars? Why Geely Is the Most Underrated Auto Stock
Most investors are focused on Tesla and BYD, and tend to shun the rest of the automakers. It’s understandable—most traditional players are struggling to keep up with the EV shift and the onslaught from these two giants.
But there’s one player that’s quietly grown and stayed profitable throughout—Geely.
You probably won’t hear much about Geely unless you’ve spent time in China and used a ride-hailing app. Then you’d notice plenty of Geelys on the road, not just BYDs.
Geely was the first private carmaker in China, competing against giants backed by the state. Succeeding without that backing is no small feat—it says a lot about the founder, Li Shufu. He’s built Geely into a sprawling auto empire, and in 2024, he ranked as China’s 15th richest man according to Forbes.
Geely didn’t just scale—it executed. It kept its core intact while expanding via acquisitions and incubating new EV brands. Today, Geely Holding is a full-fledged conglomerate, with brands like Geely Auto, Volvo Cars, Lotus, and stakes in Polestar, Proton, Aston Martin, Mercedes-Benz, and other auto-related ventures.
But here’s where it gets a bit confusing.
The listed company is Geely Automobile Holdings (SEHK:175). The holding company, Geely Holding Group, is private. So brands like Volvo, Polestar, and Lotus aren’t actually in the listco. Same goes for ventures like CaoCao, China’s second-largest ride-hailing platform—it’s gearing up for a Hong Kong IPO, but again, it belongs to the holding company, not the listed one.
That said, there are close working ties. Even if Geely Auto doesn’t hold equity in Volvo, the two work closely.
Take Proton’s X50 and S70. Both sit on Geely’s BMA platform and use engines co-developed with Volvo. Future models are set to ride on the jointly engineered CMA platform. The synergies are strong—even without shareholding links.
Geely – the Tencent of cars?
It’s not a perfect analogy, but there are similarities.
Just like Tencent, Geely builds ecosystems. It partners widely—Baidu, Foxconn, Tencent—to develop EV and autonomous driving tech. It runs a portfolio of brands across price points and categories—Volvo, Zeekr, Lynk & Co.
Geely also acts as a platform partner. It manufactures for others, like Polestar—similar to how Tencent provides backend infrastructure and capabilities to digital players.