Key points:
- XPeng shares have fallen 31.4% this year, but the downtrend could end soon.
- The EV manufacturer just reported impressive January delivery numbers.
- The stock may be pretty attractive to investors looking for tech companies.
The Xpeng Inc – ADR (NYSE: XPEV) share price has fallen 31.4% this year amid a broad selloff in global tech stocks triggered by the US Federal Reserve’s hawkish tone.
However, we got a glimmer of hope earlier today after the company reported its January delivery figures, which were better than expected, allowing the stock to rally higher on the Hong Kong Stock Exchange.
The Chinese electric vehicle manufacturer delivered 12,922 Smart EVs in January 2022, representing a 115% increase to January 2021 figures and beating its monthly delivery target of 10,000 vehicles.
Also Read: The Best Electric Car Stocks to Buy.
The EV manufacturer’s deliveries to date have crossed the 150,000 mark. The company also told investors that it was upgrading the technology at its Zhaoqing plant while taking advantage of the Chinese New Year Holiday.
XPeng currently operates 813 branded supercharging stations within 333 Chinese cities and rapidly expands its footprint in China and other markets.
The company is currently setting up a new store in Sweden. In addition, it is expected to launch a new experience centre in the Westfield Mall of Scandinavia, according to leaked images on Reddit, a social media platform.
The Swedish store will be XPeng’s second international outlet after the company opened a similar store in Norway as its first international location. The EV manufacturer has adopted an interesting approach in its international expansion efforts by focusing on Scandinavian markets first.
XPeng shares tarded higher in Hong Kong on the first trading day since Monday following the Chinese New Year Holiday. However, other tech stocks also rallied higher, indicating that the tech selloff might be nearing its climax.
The company’s shares were expected to open slightly higher than yesterday’s closing price as part of a bounce that started last Friday as investor sentiment towards US tech stocks shifted to positive.
The Fed recently reassured investors that it does not plan to hike interest rates by a significant margin this year, placating the markets expecting a massive surge in interest rates by four rate hikes.
Investors looking for exposure to the tech sector may find XPeng shares quite attractive following its massive decline over the past month.
*This is not investment advice. Always do your due diligence before making investment decisions.
Xpeng stock price.
XPeng stock has fallen 31.41% in the past month, and many are hoping it will reverse course soon.