XPENG Stock Forecast 2023: Is XPENG a Good Buy?

XPENG Stock Forecast 2023: The XPENG Stock Prediction for the next 12 months is lowered to $11.3.

XPENG Stock: Latest Price

XPENG Stock Performance

  • 1 M: -15.97%
  • 3 M: 1.53%
  • 12 M: -57.58%

XPENG Recent Developments

3.21 million shares are distributed to employees by XPeng under its equity incentive plan

An equity incentive scheme was used to award more than 3.21 million restricted stock units, or an equal number of the company’s underlying Class A ordinary shares, to 141 workers of the Chinese electric vehicle manufacturer XPeng (XPEV).

According to a regulatory filing, none of the gifts will be subject to shareholder approval, and none of the recipients is a director, chief executive, significant shareholder, or an associate of any of them.

Legal Departments’ Social Media Accounts Are Created by XPeng to Respond to Bad News

On Weibo, a platform akin to Twitter, XPeng has started official social media pages for their Legal Departments. This action follows similar ones made by rivals.

XPENG Stock Price Prediction for the next 12 months

Average XPENG Stock Forecast$11.3
JP Morgan$9
Daiwa Capital$8
China Renaissance$11.3

XPENG Stock Forecast Today: Buy or Sell

UTC: Sep 24th, 2023 05:39 PM
Overall OutlookBearish
1. Market's WisdomBearish
1a. Market DataBearish
1b. Technical RecommendationSell
2. Crowd's WisdomNeutral
2a. Social Media BuzzSteady
2b. Social Media SentimentSteady

XPENG Stock Performance on last trading day

The stock opened slightly in the red at 10.11 and in the early hours of trading recovered ever so slightly till 10.16 and then started a deep dive and fell to a day’s low of 9.6. Thankfully, the stock had a little upside left in it and moved up till 9.82 and ended there for the day with a loss. The volume was a little sluggish at 1,458,293 when compared to the average of the past 3 months which stands at 12,197,708.

UTC: Sep 24th, 2023 08:44 PM

Also Read: Rivian Stock Forecast 2022

XPENG Stock Forecast 2023: Earnings Summary

Quarter 1 2022

  • The first quarter’s revenue was $1,176.0 million which represented a 152.6% YoY increase.
  • The EPS was $-2 which was less than the previous quarter at $2.
  • This Quarter, XPENG boasts a high amount of vehicle deliveries – 34,422 in Q2, a 98% YoY increase.
  • The CEO commented on the robust demands for their EVs this quarter and mentioned a focus on ADAS i.e. advanced driver-assistant system

Quarter 2 2022

  • The revenue of the company decreased from $1.17B (Q1) to $1.12B (Q2). This happened with a YoY of
    93.06 %(Q2) as compared to 157.83% YoY (Q1).
  • EPS for Q3 stands at -0.48 as compared to -0.31 (Q1), with a YoY growth rate of -121.17% (Q2) as
    compared to -121.78% (Q1).
  • Gross margin was 10.9% for the second quarter of 2022, compared with 11.9% for the same period of
    2021 and 12.2% for the first quarter of 2022.
  • Vehicle margin, which is the gross profit of vehicle sales as a percentage of vehicle sales revenue, was
    9.1% for the second quarter of 2022, compared with 11.0% for the same period in 2021 and 10.4% for
    the first quarter of 2022.
  • Net loss was RMB2,700.9 million (US$403.2 million) for the second quarter of 2022, compared
    with RMB1,194.6 million for the same period of 2021 and RMB1,700.8 million for the first quarter of
  • Segment wise revenue details:Vehicle sales: $1,035,890, Services and others: $74,327

Quarter 3 2022

Net income-2.38B48.99%
Diluted EPS
Net profit margin-34.82%24.89%
Operating income-2.18B20.76%
Net change in cash
Cash on hand
Cost of revenue5.9B20.44%

XPENG will release the Earnings for the final quarter of 2022 on March 17th, 2022.

XPENG Stock Forecast 2023: Bull Case

Revenue Growth: XPENG has reported healthy revenue in 2022. The company reported YoY growth in the first three quarters of 2022.

Innovative technology: Xpeng is known for its innovative technology, including its autonomous driving capabilities, which are among the most advanced in the Chinese EV market. The company has also developed a proprietary operating system for its vehicles, which provides a seamless user experience and helps differentiate its products from those of its competitors.

Favorable industry trends: The EV industry is expected to continue to grow rapidly in the coming years, driven by factors such as government incentives, increasing consumer demand, and the need to reduce carbon emissions. Xpeng is well-positioned to benefit from these trends, as it has a strong brand, innovative technology, and a growing customer base.

XPENG Stock Forecast 2023: Bear Case

Competition: Xpeng operates in a highly competitive market, with several established players, including Tesla, NIO, and Li Auto, offering similar products and services. This competition could put pressure on the company’s market share, pricing, and profitability.

Regulatory risks: Xpeng’s business is subject to various regulations and environmental standards, which could change over time and could affect the company’s operations and financial performance. Changes in regulations could increase compliance costs or limit the adoption of EVs in certain regions, which could negatively impact Xpeng’s growth potential.

Limited operating history: Xpeng is a relatively new company, having only been founded in 2015. As a result, the company has a limited operating history, which makes it difficult to evaluate its long-term growth potential and profitability.

XPENG Stock Forecast 2023: XPENG VS NIO

Rival firms XPENG and NIO have been competing closely in the Chinese market. They have also been close in stock market competition. Nio was able to deliver 7000 vehicles in May whereas XPENG managed 10,125. The target for both the stocks is very similar as well – For XPENG it is $39.6 and for NIO, it is $34. However, XPENG is much more volatile than NIO at a beta of 5.4 whereas for NIO it is just 2.5.

Financially, NIO is stronger. For Q1, NIO had revenue of $9.9B and XPENG reported $7.5B. The EPS for NIO is $-0.8 which was a surprise of 31.7%. The EPS of XPENG was $-2.0. It is worth noting that both of them have Zack’s rating of “Hold” and both fall into the bottom 19% of the industry.

Given higher revenue and less volatility, NIO seems a better bet out of both stocks.

Note: Crowdwisdom360 collates Predictions and data from all over the net and has no in-house view on the likely trends in the Stocks or Crypto Coins. Please consult a registered investment advisor to guide you on your financial decisions.

XPENG Stock Forecast

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