Citi has issued a research report raising its 2024-2026 sales forecasts for XPENG-W (09868.HK) (XPEV.US) from 207,000/ 322,000/ 405,000 vehicles to 227,000/ 352,000/ 430,000 vehicles, after considering the trend of downgraded consumption in China's automotive industry.
Tesla (TSLA.US) will hold a launch event for its driverless taxi Robotaxi next week, which Citi expected to boost market sentiment. Coupled with 4Q being the traditional peak season for automobile sales, the broker elevated its TPs for XPENG-W's H-shares and US shares from $40 and US$10.3 to $57 and US$14.6, respectively.
In addition, given that the MONA brand's sales may exceed expectations, which could dilute the company's overall product average selling price and earnings, and the supply and demand for BEVs is tight, Citi believed XPENG-W's valuation is currently at a reasonable level with balanced risk and reward, thus maintaining a Neutral rating on the company.
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AAStocks Financial News
Web Site: www.aastocks.com
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