Morgan Stanley Maintains a Buy on WeRide (WRD), Sets a $13 PT

WeRide Inc. (NASDAQ:WRD) is one of the best oversold NASDAQ stocks to buy now. Analyst Tim Hsiao from Morgan Stanley maintained a Buy rating on WeRide Inc. (NASDAQ:WRD) on May 22 and set a $13.00 price target.

The analyst based the rating on the company’s potential in the autonomous vehicle market, maintaining an optimistic outlook on its long-term prospects despite near-term uncertainties in the robosweeper and robobus sectors.

The analyst is particularly optimistic about the robotaxi segment, stating that WeRide Inc.’s (NASDAQ:WRD) continued expansion in China and recent project breakthroughs with Uber position it well to capitalize on its first-mover advantage in Level 4 autonomous driving.

While Hsiao acknowledged that WeRide Inc. (NASDAQ:WRD) may see share price volatility in the short term, he stated that he sees considerable upside potential, especially as the focus of the market moves back to robotaxis. The firm reasoned that the unchanged expectations for robotaxis and the expected breakeven in 2027 further support the constructive rating.

WeRide Inc. (NASDAQ:WRD) is headquartered in Guangzhou, China, and develops an autonomous driving technology platform. The company offers Robotaxi, Robobus, Robovan, Robosweeper, and advanced driving solutions. Its offerings also include smart services in online ride-hailing, environmental sanitation, on-demand transport, and urban logistics.

While we acknowledge the potential of WRD as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.