Hesai Group American Depositary Share each ADS represents one Class B ordinary share (HSAI) fair value

ACCE thesis

Hesai Group makes lidar sensors, the laser-ranging units that advanced driver-assistance and autonomous driving systems use to map their surroundings, and it sells them mainly to Chinese automakers and robotaxi operators. The moat is manufacturing scale: its in-house production lines have pushed unit costs down enough to win design wins that most lidar rivals have struggled to match, which is why its 40.7% gross margin sits well above what a hardware supplier usually earns. Near-term demand rests on automakers fitting lidar into mid-priced vehicles and on robotics customers adopting the same sensing stack. Revenue grew 21.9%, and at 14.1 times forward earnings the stock trades at roughly half its trailing multiple of 26.4, so the market is pricing in a sharp earnings recovery from a 0.3% operating margin. The thesis hinges on whether that margin expands as volumes rise, and the 49/100 score and lack of index membership suggest the market has not yet been convinced.