Original-Research: EBRO MOTORS GROUP EV SA (von NuWays AG): BUY

^

Original-Research: EBRO MOTORS GROUP EV SA - from NuWays AG

13.10.2026 / 09:00 CET/CEST

Dissemination of a Research, transmitted by EQS News - a service of EQS

Group.

The issuer is solely responsible for the content of this research. The

result of this research does not constitute investment advice or an

invitation to conclude certain stock exchange transactions.

---------------------------------------------------------------------------

Classification of NuWays AG to EBRO MOTORS GROUP EV SA

Company Name: EBRO MOTORS GROUP EV SA

ISIN: ES0105725008

Reason for the research: Update

Recommendation: BUY

Target price: EUR 14.50

Target price on sight of: 12 months

Last rating change:

Analyst: Jorge Gonzalez

EU hybrid import quota could accelerate Chery contribution

New details on the EU-China hybrid vehicle agreement could materially

strengthen EBRO's investment case. Following Friday's announcement of an

agreement to restrict Chinese hybrid vehicle exports to the EU, The Guardian

now reports that Brussels plans to introduce an annual quota of 350k

China-built hybrids from December 2026. Crucially, EU-assembled vehicles

would reportedly be exempt, potentially increasing the strategic value of

EBRO's Barcelona factory for Chery.

* A significant restriction on Chinese hybrid imports. The EU reportedly

intends to use WTO safeguard measures to impose an initial annual quota

of 350k HEV/PHEV vehicles for four years, with the cap increasing by 6%

annually. This represents c. 45% of the annualised 8M26 EU registrations

of BYD, SAIC, Chery and Leapmotor (c. 780k vehicles), excluding EBRO and

Volvo. While this comparison covers all powertrains, the Commission

reportedly expects c. 800k China-built hybrid imports in 2026, implying

a reduction of more than 50% against the current run-rate.

* Barcelona's strategic relevance could increase substantially. According

to The Guardian, vehicles assembled within the EU, including those

expected from BYD's Hungarian operations and future production in Spain,

would be exempt from the quota. If confirmed, this could materially

strengthen Chery's incentive to allocate additional production to EBRO

Factory. With an estimated annual capacity of c. 130k vehicles across

its existing lines at three shifts, Barcelona offers substantial

headroom relative to the c. 32k EBRO-branded vehicles expected to be

produced in 2026 (eNuW).

* Potential for significantly higher Chery volumes, albeit with execution

constraints. Our estimates currently assume Chery assembly volumes

rising from c. 6k initially to c. 40k at medium-term maturity,

equivalent to only c. 23% of Chery's annualised 8M26 EU registrations. A

more restrictive import environment could support substantially higher

allocations and stronger fixed-cost absorption. However, both Chery and

EBRO Factory would require time to adapt production, supply chains and

manufacturing processes, while the final quota terms, applicable

exemptions and Chery's allocation decisions remain unconfirmed.

Our valuation sensitivity highlights substantial upside from higher Chery

production volumes. For instance, the assembly of more than 70k Chery

vehicles annually could already support a valuation of over EUR 17 per share.

While we consider it premature to incorporate additional volumes into our

forecasts until the reported regulatory details are officially confirmed,

the latest developments reinforce the investment case outlined in our

initiation report published yesterday (link here). EBRO combines the

heritage of a historic Spanish automotive brand and an established

manufacturing base in Barcelona with Chery's technology and procurement

scale. Strong initial commercial traction, reflected in a c. 2.2% market

share in Spain in only its second year, provides a solid foundation for

further growth through portfolio expansion, access to corporate fleets and

internationalisation. Meanwhile, additional Chery assembly volumes offer

substantial potential to improve plant utilisation, fixed-cost absorption

and profitability. We therefore maintain our estimates, BUY recommendation

and EUR 14.50 PT, with further scenario analysis on the following page.

You can download the research here:

https://nwr.eqs-cockpit.com/fncls2.ssx?fn=redirect&u=380e47ebceba51d52267eeef07c13eb2

For additional information visit our website:

https://www.nuways-ag.com/research

Contact for questions:

NuWays AG - Equity Research

Web: www.nuways-ag.com

Email: research@nuways-ag.com

LinkedIn: https://www.linkedin.com/company/nuwaysag

Adresse: Mittelweg 16-17, 20148 Hamburg, Germany

++++++++++

Diese Meldung ist keine Anlageberatung oder Aufforderung zum Abschluss

bestimmter Börsengeschäfte.

Offenlegung möglicher Interessenkonflikte nach § 85 WpHG beim oben

analysierten Unternehmen befindet sich in der vollständigen Analyse.

++++++++++

---------------------------------------------------------------------------

The EQS Distribution Services include Regulatory Announcements,

Financial/Corporate News and Press Releases.

View original content:

https://eqs-news.com/?origin_id=147f29e4-c6cc-11f1-9d22-0a083a71a9ab&lang=en

---------------------------------------------------------------------------

2414514 13.10.2026 CET/CEST

°