This Chinese EV maker can grab market share and double its earnings, Ariel Investments says

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Great Wall is making SUVs at higher price points that may boost profit margins.

Investors are underestimating a buying opportunity in Chinese EV maker Great Wall Motor, which could double its earnings from current levels, according to Ariel Investments. "Great Wall, in my view, is the one where investors are most likely to be positively surprised by their market share gains," said Henry Mallari-D'Auria, chief investment officer of emerging markets value at Chicago-based Ariel.

However, he said the model upgrades could help the automaker push margins close to 9% or 10%. "So there's the opportunity for investors to have missed out on understanding how significantly the SUV launches will change Great Wall's profitability," Mallari-D'Auria said.

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