In this article, we will look at the Goldman Sachs China Stocks: 10 Stocks to Buy.
Goldman Sachs analysts remain bullish about Chinese stocks, as the Yuan continues to strengthen at the back of US dollar Weakness. According to the analysts, the stocks have shown resilience amid the ongoing trade spat with the US. Consequently, the analysts expect every 1% appreciation in Yuan to boost Chinese equities by 3%. Improved corporate earnings outlook and stronger foreign inflows are other factors that should continue to drive Chinese equities in the market.
Morgan Stanley is also bullish on Chinese equities. Morgan Stanley strategist Kinger Lau and colleagues wrote:
“Chinese stocks tend to perform well when the currency rises. The outlook for the currency lends support to their overweight stance,”
The Chinese stock index MSCI China Index has recouped all its losses since President Donald Trump’s April 12 Tariff offensive. Likewise, Chinese assets have benefited from diversification away from the US markets amid the tariff and tax cuts concerns.
Goldman Sachs expects Chinese stocks to outperform on the government’s recent pivot to supporting the private economy. Additionally, Goldman Sachs expects artificial intelligence to be the foundation of most Chinese companies. Consequently, companies with capital to invest in AI research and infrastructure are well-positioned to remain competitive in the long run.
With that in mind, let’s take a look at Goldman Sachs China Stocks: 10 Stocks to Buy
A senior executive looking up at a large boardroom filled with the stocks their company manages.
Our Methodology
To make the list of Goldman Sachs China Stocks: 10 Stocks to Buy, we scanned the markets focusing on stocks of Chinese companies that Goldman Sachs remains bullish on. We focused on stocks with significant upside potential and that were popular among elite hedge funds. Finally, we ranked the stocks in ascending order based on Goldman Sachs Group Inc.’s stakes in them, as of Q1 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
Goldman Sachs China Stocks: 10 Stocks to Buy
10. Pony AI Inc. (NASDAQ:PONY)
Number of Hedge Fund Holders: 13
Goldman Sachs Equity Stake: $139,400
Pony AI Inc. (NASDAQ:PONY) is one of Goldman Sachs’ top Chinese stock picks. On June 17, the Chinese autonomous driving company unveiled its seventh generation Robotaxi at the 2025 International Automotive & Supply Chain Expo in Hong Kong.
Marking the company’s first debut in the city, the Gen 7 robotaxi showcases the company’s advancement in autonomous driving hardware and software. The Robotaxi utilizes 100% automotive-grade components and boasts a 70% cost reduction in its autonomous driving kits. It is also designed for adaptability and supports integration across various vehicles.
The Robotaxi has 34 sensors spanning six categories to offer comprehensive detection coverage from 360-degree blind support monitoring to identifying objects 650 meters away. Therefore, autonomous taxis can operate in urban and intercity environments, including highways, ring roads, and airports.
A successful deployment in Hong Kong would enable Pony.ai’s robotaxis to move through several GBA zones, including train stations and airports, facilitating smooth interstate autonomous transportation. It is also expected to improve citizens’ mobility with convenient, safe, and dependable self-driving services.
Pony.ai is the only company authorized to operate autonomous ride-hailing services in China’s tier-I cities. Therefore, adding the Gen-7 robotaxi will expand the company’s fleet. The company plans to have over 1,000 vehicles by the end of 2025.
Pony AI Inc. (NASDAQ:PONY) is a global autonomous driving technology company that develops and commercializes self-driving systems for vehicles. It specializes in building the safest autonomous driving capabilities and aims to revolutionize transportation.
9. Dada Nexus Ltd (NASDAQ:DADA)
Number of Hedge Fund Holders: 17
Goldman Sachs Equity Stake: $512,554
Dada Nexus Ltd (NASDAQ:DADA) is one of Goldman Sachs’ top Chinese stock picks. On June 16, the company completed its privatization through a merger with JD Sunflower Merger Sub Limited, a wholly owned subsidiary of JD.com. Shareholders approved the deal at $2.00 per ADS and $0.50 per ordinary share, making Dada a fully owned JD.com entity and delisting it from Nasdaq effective June 17.
As part of the transition, Dada Nexus will file Form 15 with the SEC to suspend its reporting obligations, officially exiting U.S. public markets. The move marks a strategic shift as the company becomes a private subsidiary under JD.com’s umbrella.
This acquisition strengthens JD.com’s competitive edge by integrating Dada’s advanced local delivery infrastructure into its broader e-commerce ecosystem. The deal was supported by financial advisors Kroll and UBS, with legal counsel from Gibson Dunn and Skadden.
Dada Nexus Ltd (NASDAQ:DADA) runs China’s leading on-demand retail and delivery platform. Its JD NOW service connects consumers with retailers and brands for local shopping via web and mobile. At the same time, Dada NOW offers real-time, last-mile delivery across cities for businesses of all sizes and individual users. Together, the platforms create a seamless ecosystem for fast, local commerce.
