You can thank China’s strict “zero COVID” policy for that, as XPeng had to shut down some production due to COVID-19-related lockdowns in the country. Recently reported its second-quarter results, and investors were unenthused. Following the earnings release, XPeng investors pushed the company’s share price down 10%. Turning to Wall Street, XPEV stock comes in as a Strong Forex news Buy, based on nine Buys and one Hold rating. The averageXPeng price targetis $42.56, implying 109.5% upside potential. The EV revolution is here to stay, but picking the best automakers to invest in can be a challenge since there are so many startups on the market today. XPeng isn’t the most famous one, but it’s growing fast, and there’s fresh data available to prove it.
- Though these numbers would still be shy of Tesla’s aggressive sum of 2M output by the end of 2023, we have to applaud XPEV’s efforts in coming this far since the company was only founded in 2015, as opposed to the former in 2003.
- 25.15% of the stock is owned by institutional investors and hedge funds.
- For the second quarter of 2022, XPeng expects to deliver 31,000 to 34,000 vehicles, which would represent a year-over-year increase of around 78.2% to 95.4%.
- I/we have a beneficial long position in the shares of TSLA either through stock ownership, options, or other derivatives.
- Rising vehicle costs were a problem for the company, including battery expenses.
- Any posted results should be considered in the context of the aforementioned challenges.
That’s because in the second quarter of 2021 XPeng wasn’t selling its P5 sedan. The company only began selling the P5 in September, so the second-quarter 2021 sales don’t include any of the vehicle’s revenue. XPEV XPeng’s sales soared 97% from the year-ago quarter to $1.1 billion. That strong growth would normally make investors very happy, but the huge increase comes with a bit of an asterisk next to it.
Xpev Continues To Grow At All Costs, Delaying Its Stock Recovery In A Bearish Market
This might seem surprising since, clearly, XPeng is demonstrating revenue growth. Additionally, analysts on Wall Street had estimated that XPeng would deliver around 45,000 EVs during Q3. So, XPeng’s lowball range is alarming, as it suggests that the https://dotbig.com/ company envisions a potential slowdown in vehicle deliveries, which would undoubtedly impact XPeng’s top and bottom lines. Quarterly revenue came in at 7.43 billion Chinese renminbi ($1.1 billion), nearly double the figure from the year-ago quarter.
The good news is that XPeng just disclosed details regarding its luxurious G9 model SUV. Apparently, some Chinese companies revealed their plans to delist from American exchanges. Get stock recommendations, portfolio guidance, and more from The Motley Fool’s premium services. Despite the big jump today, Aerie shares traded above $60 as recently as 2018, and so the exit from the public arena won’t necessarily leave long-term investors with good memories of the stock’s performance. Founded in 1993 by brothers Tom and David Gardner, The Motley Fool helps millions of people attain financial freedom through our website, podcasts, books, newspaper column, radio show, and premium investing services. I have no business relationship with any company whose stock is mentioned in this article.
Xpeng Inc 9868hk
Drivers will also have to undergo a seven day “familiarization period” with the system, and log over 100 kilometers of driving, before City NGP can be used on all available roads. However, Xpeng will likely need to prove the reliability and safety of its system before Chinese regulators allow the company to roll out the feature across the entire city of Guangzhou, let alone the country. Charles Zhang, vice president of Xpeng, told CNBC on Monday that the pilot of City NGP brings the company “one step closer to full autonomy.” Splitting roads, getting around stationary vehicles or obstacles, and maintaining an appropriate speed throughout the driving route. “We believe the continuous evolvement of City NGP and the expansion of its coverage will accelerate the transformation of the driving experiences of our customers,” Mr. He said. Not all of XPeng’s quarterly results were bad in Q2, but investors may want to be cautious before investing in this Chinese EV maker right now. XPeng’s net loss widened in the quarter to $403 million, from a loss of $185 million in the year-ago quarter.
XPeng Inc designs, develops, manufactures, and markets smart electric vehicles in the People’s Republic of China. It offers SUVs under the G3 and G3i names; four-door sports sedans under the P7 name; and family sedans under the P5 https://dotbig.com/ name. The company also provides sales contracts, maintenance, super charging, vehicle leasing, insurance agency, ride-hailing, technical support, automotive loan referral and auto financing, music subscription, and other services.
Some investors would consider bottom-line results to be more important than top-line results, so Gu’s braggadocio might not be fully justified by the hard data. To make sense of this, https://www.dukascopy.com/swiss/english/forex/trading/ we have to put XPeng’s 9,578 August smart-EV deliveries into perspective. Specifically, this result marks a 16% month-over-month decline compared to XPeng’s 11,524 July deliveries.
City NGP is designed to allow the car to autonomously carry out tasks such as lane changing or overtaking vehicles in a complex urban environment. It is designed specifically for urban areas rather than highways. Urban areas are more complicated environments for autonomous driving because of the number of potential objects and scenarios a driver dotbig review might face. Xpeng launched a feature that allows its cars to semi-autonomously navigate urban environments, marking its latest challenge to U.S. electric vehicle giant Tesla. Real-time last sale data for U.S. stock quotes reflect trades reported through Nasdaq only. Intraday data delayed at least 15 minutes or per exchange requirements.
Nio, Other China
Going forward, XPeng will deliver the full-scenario ADAS on its new flagship G9 SUV, the fourth production model to be officially launched in China on September 21. In short, COVID-19-related lockdowns continue to hurt the company’s ability to produce and deliver the number of vehicles it wants to. The company tried to offset some of the rising expenses by increasing vehicle prices earlier this year, but the price bump didn’t appear to be enough to offset the cost. “Our deliveries sustained robust growth momentum in the second quarter despite unprecedented circumstances brought by the resurgence of COVID-19 in certain areas of China,” XPeng CEO He Xiaopeng said in a press release. However, the ongoing challenges of supply-chain disruptions and COVID-19 undoubtedly have made it more difficult for XPeng to translate its revenues into bottom-line profits. So, if you’re confident (like XPeng’s CEO is) that the company will be able to overcome these challenges in the long run, then it could make sense to buy dotbig forex now.
Motley Fool Returns
XPEV is currently trading at an EV/NTM Revenue of 1.52x and NTM P/E of -13.61x, lower than its 2Y EV/Revenue mean of 8.56x though massively improved from its 2Y P/E mean of -46.80x. The stock is also trading at $14.56, down -74.20% from its 52 weeks high of $56.45, nearing its 52 weeks low of $14.50. It is evident that https://dotbig.com/markets/stocks/XPEV/ Mr. Market is more bearish than expected, given the massive plunge of -38.28% since our previous analysis. The declines have left XPeng trading for roughly 1.3 times estimated 2023 sales, down from about 4 times at the start of 2022. EV stocks have multiplied in Tesla’s wake and as electric cars look to go mainstream.
Whats New With Xpeng Stock?
Along with those figures, XPeng disclosed that it had delivered a total of 90,085 smart EVs during 2022’s first eight months, indicating a 96% year-over-year increase. With that vehicle delivery growth rate, Forex news XPeng and the company’s bullish investors definitely earned some bragging rights. After we examine XPeng’s recent monthly vehicle delivery report, you may be even more emboldened to buy the stock.