Chinese Electric Vehicle Manufacturer Xpeng (XPEV) reported mixed estimates for the fourth quarter on Monday morning, a week after the rival Nio (NIO) published a mixed report and warned of the global chip shortage. Xpeng’s shares fell solidly on Monday morning, along with Nio, Li Auto (LI) and Tesla (TSLA).
X
Xpeng earnings report
Estimates: Wall Street expected a loss of 12 cents per share on revenue of $ 411.38 million, according to Yahoo Finance.
Results of: Xpeng lost 15 cents per share, as revenue grew 345.5% to $ 437 million.
Previously, Xpeng reported the sale of 12,964 vehicles in the fourth quarter of 2020, an increase of 303% over the previous year. It delivered a total of 27,041 vehicles in 2020, an increase of 112%. It makes the P7 sedan, a rival to the Tesla Model 3 made in China, and the small G3 SUV.
In comparison, Nio sold 17,353 EVs in the fourth quarter and 43,728 in the year. Li Auto sold 14,464 hybrid-electric vehicles in the fourth quarter and 32,624 in the year.
But last week, Nio warned that a shortage of chips and batteries will force a slowdown in production from 10,000 vehicles a month in February to 7,500 a month in the second quarter.
Xpeng, Li Auto and Nio reported deliveries from February last week that fell significantly from January, amid the Lunar New Year holiday. Xpeng’s deliveries were 2,223 EVs against 6,015 in January. The company expects deliveries of 12,500 vehicles in the first quarter, an increase of about 450% over the previous year. This would also imply deliveries in March of 4,262.
IBD Live: a new tool for daily stock market analysis
Xpeng stock
The shares fell nearly 4% in Monday’s stock market trading. Xpeng’s shares remain housed well below its 50-day line, according to analysis by the MarketSmith chart. The relative strength line of the XPEV stock has plummeted since January.
Among other EV stocks, Li Auto fell 5% on Monday, Nio 5% and Tesla (TSLA) 3%.
Chinese EV stocks soared in 2020 with sales growth, recovering from an initial pandemic. Xpeng and Li Auto also joined an explosion of new EV stocks last year and obtained billion-dollar IPOs in the U.S.
But the shares of Xpeng and its peers are under pressure this year amid a fall by Tesla, the global leader in EV. In addition, China has cut subsidies for electric vehicles, while Chinese technology and automotive giants have entered the electric car market.
Find Aparna Narayanan on Twitter at @IBD_Aparna.
YOU MIGHT LIKE:
The new EV stock: what could be the next Tesla?
Is Nio Stock A Buy As Earnings Loom For China EV Leader?
Actions to be observed: IPOs better evaluated, large capitalizations and growing stocks
Join IBD live and learn the main techniques of reading charts and trading with professionals
Tech Futures Dive as bond yields increase