Update shared on27 Aug 2025
Fair value Decreased 13%The significant drop in EHang Holdings’ future P/E ratio alongside a slight reduction in forecast revenue growth indicates lowered expectations for profitability and growth, resulting in the consensus analyst price target decreasing from $27.32 to $25.55.
What's in the News
- EHang revised its 2025 revenue guidance to approximately RMB 500 million and announced a major investment agreement with the Hefei government, establishing a comprehensive VT35 eVTOL product hub with total investment estimated at RMB 1 billion and governmental support valued at RMB 500 million to accelerate R&D, manufacturing, certification, and operations in East China (Key Developments).
- EHang’s VT20 logistics eVTOL successfully completed intercity cargo flights between Zhuhai and Guangzhou, validating long-range drone logistics and paving the way for the development of an "Air Postal Network" in the Greater Bay Area, significantly improving efficiency for time-sensitive cargo (Key Developments).
- EHang received an order for 50 EH216-S eVTOLs from Guizhou Scenic Tourism Development and reached a cooperation with the Anshun Economic and Technological Development Zone to drive low-altitude tourism, logistics, and emergency services, supporting Guizhou’s broader low-altitude economy initiatives (Key Developments).
- In Changchun, EHang signed a strategic agreement with Jingyue Hi-tech Zone for a demonstration zone, including an order for 41 EH216-S eVTOLs for emergency, sightseeing, and traffic operations, and will benefit from policy, funding, and infrastructure support as it develops cold-weather and composite material technologies (Key Developments).
- The company expanded its partnership with Gotion High-Tech to jointly develop advanced battery systems for the EH216 series and future eVTOL models, aiming to enhance flight range and operational safety, strengthen its UAM and logistics network capabilities, and improve its competitive position in global low-altitude transportation (Key Developments; Periodicals, Reuters highlights EHang among prominent publicly traded drone companies with heightened sector attention in the U.S. defense budget proposal).
Valuation Changes
Summary of Valuation Changes for EHang Holdings
- The Consensus Analyst Price Target has fallen from $27.32 to $25.55.
- The Future P/E for EHang Holdings has significantly fallen from 62.81x to 7.78x.
- The Consensus Revenue Growth forecasts for EHang Holdings has fallen slightly from 70.9% per annum to 68.4% per annum.
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