XPeng: H2 2025 Volatility Likely - Wait For A Dip Buying Opportunity

Summary

• XPEV's diversified price points and ADAS offerings (even for mass market models) have grown sales by triple digits on a YoY basis.
• This is likely to be aided by the growing presence globally from H2'25 onwards, as the automaker reports improving top/bottom lines and expands its global sales effort.
• Combined with the richer balance sheet, we believe that XPEV's cash bridge to profitability is more than enough, no matter the H2'25 uncertainties from the halted EV subsidies.
• Thanks to the high growth prospects, we believe that the stock looks a lot more compelling now after the much-needed correction from the March 2025 heights.
• Given XPEV's recently reversing price momentum, we believe that patient investors may look forward to a dip-buying opportunity ahead.

Lemon_tm

XPEV Remains Attractively Valued Thanks To Its Robust Topline Growth Prospects & Upcoming Bottom-line Reversal

We previously covered XPeng Inc. (NYSE:XPEV) in March 2025, discussing its eye-watering triple digits rally since the August 2024 bottom, with it well

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

The analysis is provided exclusively for informational purposes and should not be considered professional investment advice. Before investing, please conduct personal in-depth research and utmost due diligence, as there are many risks associated with the trade, including capital loss.