Keep an eye on rebounding shares of XPeng (SYM: XPEV).
After finding strong support at around $6.50, XPEV is now back to $7.51. From here, we’d like to see it retest $9 initially. Helping, company CEO Xiaopeng He just bought about 3.8 million shares of the stock for about $3.50 a share between August 21 and 23.
Plus, earnings haven’t been too shabby.
Revenue grew about 60.2% year over year, and about 24% quarter over quarter. It also posted a narrower loss as compared to year earlier numbers. The company also guided for third quarter deliveries of 41,000 to 45,000 units, which is up nicely from 30,207 deliveries in the second quarter. However, it is below the estimated midpoint range of 44,727.
“We are about to enter into a strong product cycle,” added the CEO. “In the next three years, we will have a large number of new models and facelift versions in the pipeline for market launch.” And, as noted by Seeking Alpha, Xiaopeng also said XPEV’s product line-up and more efficient marketing/technological advantages, including breakthroughs in artificial intelligence, will lead to sales growth in China and the international market.
In short, there’s a lot to like about XPEV moving forward – especially with the company CEO putting his money where his mouth is.
