25
Sun, May
385 New Articles

Macquarie Upgrades XPeng (XPEV) to Outperform

Macquarie Upgrades XPeng (XPEV) to Outperform

Finance News
Typography
  • Smaller Small Medium Big Bigger
  • Default Helvetica Segoe Georgia Times
Macquarie Upgrades XPeng (XPEV) to Outperform

On May 22, Macquarie upgraded its rating on XPeng Inc. (NYSE:XPEV) from Neutral to Outperform, lifting the price target from $22 to $24.

Eugene Hsiao from Macquarie made this upgrade following XPeng’s strong Q1 2025 report, another quarter that is leading the company towards net profit. For the past seven quarters, XPeng’s gross margin has improved, with Q1’s gross margin reported at 15.6%. During Q1, the company lowered its losses from $190 million in the same quarter last year to around $91.6 billion. Hsiao mentioned that the company’s goal of profitability seems evident with record deliveries during the quarter. XPeng's management expects the company to become profitable by the fourth quarter of 2025.

Create image of Electric vehicles shown on the roads. Keep the image in a rectangular aspect ratio, as it is for a WordPress news article.
Create image of Electric vehicles shown on the roads. Keep the image in a rectangular aspect ratio, as it is for a WordPress news article.

An assembly line of electric cars moving along a production line.

The company completed delivery of 94,008 vehicles during Q1. The company’s revenue was around $2.20 billion, exceeding estimates by $17.42 million. XPeng’s Vehicle sales revenue soared over 159% from a year ago, lowering the losses incurred compared to last year.

Hsiao added that XPeng Inc. (NYSE:XPEV) is now covering its previous scale challenges. The analyst believes that the Chinese Smart EV maker can “kick-start a growth cycle” through its M03 and P7+ vehicles, reclaiming its EV market share. XPeng has announced the launch of the 2025 models for G6, G9, and Mona Max, while the company expects to begin the deliveries of G7 and the latest P7 models in Q3.

XPeng Inc. (NYSE:XPEV) is a well-known Chinese Smart EV manufacturer. It is engaged in the design, production, and marketing of Smart EVs. XPeng's famous vehicles include the SUV (the G3) and a four-door sports sedan (the P7). The company mainly targets the mid to high-end EV segment in China's passenger vehicle market.

While we acknowledge the potential of XPEV to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than XPEV and that has 100x upside potential, check out our report about this cheapest AI stock.

Read Next: 30 Best Stocks to Buy Now According to Billionaires and 15 Small-Cap Healthcare Stocks Hedge Funds Are Buying.

Disclosure. None.

Content Original Link:

Original Source FINANCE YAHOO

" target="_blank">

Original Source FINANCE YAHOO

Top Stories

Grid List

How To Create and Execute a Savings Plan

Finance News

How To Create and Execute a Savings Plan

8 Ways To Find Money for Investing in Your Budget

Finance News

8 Ways To Find Money for Investing in Your Budget

Jefferies Raises Intuit (INTU) Price Target, Keeps Buy Rating

Finance News

Jefferies Raises Intuit (INTU) Price Target, Keeps Buy Rating

Bitcoin (BTC) Price News: Crypto Bulls Lose $500M as BTC Hovers Around $108K After Trump’s Tariff Threats

Crypto News

Bitcoin (BTC) Price News: Crypto Bulls Lose $500M as BTC Hovers Around $108K After Trump’s Tariff Threats

Bitcoin Pizza Day: Celebrating The $1.1 Billion Slice Of Crypto History

Crypto News

Bitcoin Pizza Day: Celebrating The $1.1 Billion Slice Of Crypto History

Bitcoin's new high, bonds go bananas, and Coinbase joins the S&P 500: Markets news roundup

Crypto News

Bitcoin's new high, bonds go bananas, and Coinbase joins the S&P 500: Markets news roundup