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Sectors

Sector Update: Consumer Stocks Advance Late Afternoon

Consumer stocks were higher late Thursday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) increasing 0.2% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) rising 1.2%.In corporate news, YETI (YETI) shares rose 3.3% after the company said it is targeting annual adjusted earnings per share growth of low double-digit to high teens and annual net sales growth of mid-single-digit to high-single-digit through fiscal 2030.Mondelez International (MDLZ), Hershey (HSY), Kraft Heinz (KHC), General Mills (GIS) and other food companies will continue to face potential sales declines due to the rising use of GLP-1 treatment for weight loss, but the introduction of pills could lower the impact on sales, Bloomberg reported, citing Bloomberg Intelligence research. Mondelez shares were down 0.3%, Hershey was shedding 0.8%, Kraft rose 0.7%, and General Mills was fractionally lower.Lucid (LCID) CEO Silvio Napoli said Thursday on Bloomberg Television that the company finalized its work with restructuring advisers. Lucid's work with AlixPartners concluded after the adviser was brought in to help the electric-vehicle maker achieve $1.4 billion in cash savings this year, the report said. Lucid shares jumped past 6%.XPeng (XPEV) plans to offer its technology to foreign automakers other than its partner Volkswagen as it looks for new revenue streams, Reuters reported. XPeng shares added 3%.

$GIS$HSY$KHC$LCID$MDLZ$XPEV$YETI
Sectors

Sector Update: Consumer Stocks Advance in Afternoon Trading

Consumer stocks were higher Thursday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) increasing 0.2% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) rising 1.4%.In corporate news, Lucid (LCID) CEO Silvio Napoli said Thursday on Bloomberg Television that the company finalized its work with restructuring advisers. Lucid's work with AlixPartners concluded after the adviser was brought in to help the electric-vehicle maker achieve $1.4 billion in cash savings this year, the report said. Lucid shares jumped past 8%.XPeng (XPEV) plans to offer its technology to foreign automakers other than its partner Volkswagen as it looks for new revenue streams, Reuters reported. XPeng shares added 3.5%.YETI (YETI) shares rose 3.3% after the company said it is targeting annual adjusted earnings per share growth of low double-digit to high teens and annual net sales growth of mid-single-digit to high-single-digit through fiscal 2030.

$LCID$XPEV$YETI
Wire

Market Chatter: XPeng to Offer Tech to Foreign Automakers

XPeng (XPEV) plans to offer its technology to foreign automakers other than its partner, Volkswagen, as it looks for new revenue streams, Reuters reported Thursday, citing two people familiar with the matter.Some potential partners have expressed interest in the technology to Xpeng, the report said, citing one of the sources.XPeng didn't immediately respond to a request for comment from.XPeng shares were up over 3% in Thursday trading.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)Price: $10.72, Change: $+0.38, Percent Change: +3.66%

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Wire

XPeng to Offer Its Tech to Foreign Automakers, Reuters Reports

XPeng to Offer Its Tech to Foreign Automakers, Reuters Reports

$XPEV
XPeng Gives Weak Third-Quarter Revenue Outlook Following Second-Quarter Miss
US Markets

XPeng Gives Weak Third-Quarter Revenue Outlook Following Second-Quarter Miss

XPeng (XPEV) provided a third-quarter revenue outlook below Wall Street's estimates on Monday as the Chinese electric vehicle manufacturer's second-quarter sales fell short of expectations.The company expects revenue to come in between 21.7 billion Chinese renminbi ($3.23 billion) and 23.4 billion renminbi for the third quarter, reflecting annual growth of 6.5% to 15%. The current consensus on FactSet is for 26.69 billion renminbi.Vehicle deliveries are pegged at 115,000 to 121,000 units for the third quarter, representing a range from a 0.9% decline to 4.3% growth. In the second quarter, deliveries were essentially flat at 103,295 vehicles.For the three months through June, the EV maker's revenue improved 8% year over year to 19.74 billion renminbi, but missed the Street's view for 20.5 billion renminbi. Vehicle sales ticked up 1% to 17.05 billion, while revenue from services and others surged 94% to 2.7 billion renminbi.The company posted an adjusted loss of 1.29 renminbi per American depositary share, widening from a 0.41 renminbi loss the year before. Five analysts polled by FactSet expected a non-GAAP loss of 0.91 renminbi.XPeng's New York stock exchange-listed American depositary receipts declined 6.8% in Monday trade and have lost almost 44% so far this year."During the second quarter of 2026, our operations remained resilient despite industry-wide cost pressures," co-President Hongdi Brian Gu said in a statement. "I expect the mass production and commercialization of physical (artificial intelligence) technologies to accelerate over the coming year, generating meaningful gross profit growth to support our continued (research and development) investment in physical AI."Total net operating expenses increased to 5.23 billion renminbi from 4.1 billion renminbi last year, driven by gains in selling, general and administrative costs, as well as R&D expenses.Separately, Xpeng said its robotics division raised more than $900 million in a private funding round, valuing the unit at over $6.3 billion. The investment is a "strong validation" of the company's physical AI strategy and a positive step towards unlocking value in its robotics platform, Jefferies equity analysts Xiaoyi Lei and Aaron Wang said in a note emailed to.Last month, EV giant Tesla (TSLA) reported an unexpected year-over-year decline in its second-quarter earnings, weighed down by expenses related to research and development and artificial intelligence initiatives. At the end of July, Rivian Automotive (RIVN) reported better-than-expected second-quarter revenues.Chinese EV manufacturers Li Auto (LI) and Nio (NIO) are scheduled to release their latest financial results on Aug. 26 and Sept. 1, respectively.Price: $11.30, Change: $-0.90, Percent Change: -7.34%

$LI$NIO$RIVN$TSLA$XPEV
Wire

Update: XPeng Shares Fall After Q2 Miss

(Updates with share price movement in the headline and first paragraph.)XPeng (XPEV) shares fell 6.3% in early Monday trading after the company posted Q2 results that missed analysts' expectations and downbeat Q3 revenue guidance.The company reported a Q2 adjusted loss of 1.29 Chinese renminbi ($0.19) per diluted American depositary share, widening from a loss of 0.41 renminbi a year earlier.Analysts polled by FactSet expected a loss of 0.91 renminbi.Revenue for the quarter ended June 30 was 19.74 billion renminbi, up from 18.27 billion renminbi a year earlier.Analysts surveyed by FactSet expected 20.50 billion renminbi.For Q3, the company expects revenue between 21.7 billion renminbi and 23.4 billion renminbi. Analysts surveyed by FactSet expect 26.69 billion renminbi.Price: $11.42, Change: $-0.77, Percent Change: -6.32%

$XPEV
Stocks Down Pre-Bell as Investors Await Key Inflation Data, Warsh Speech, Nvidia Earnings
US Markets

Stocks Down Pre-Bell as Investors Await Key Inflation Data, Warsh Speech, Nvidia Earnings

The benchmark US stock measures were tracking in the red before the opening bell Monday as traders prepare for a busy week that includes a key inflation report, remarks by Federal Reserve Chair Kevin Warsh, and Nvidia's (NVDA) latest financial results.The S&P 500 declined 0.2%, the Dow Jones Industrial Average edged down 0.1%, and the Nasdaq was off 0.6% in premarket activity. All three main indexes finished Friday trading higher.The personal income and outlays report for July is scheduled for release on Wednesday. The report includes the personal consumption expenditure core price index, the Fed's preferred inflation metric.Warsh is expected to speak at the Fed's annual economic symposium in Jackson Hole, Wyoming, on Friday. Investors are likely to closely monitor his comments for clues about the central bank's policy outlook.Warsh's keynote speech is "unlikely to give any significant hints" related to near-term policy, Oxford Economics said in remarks emailed toon Monday."But we suspect he could shed some light on his plans to overhaul the Fed's longer-term policies and operations," Oxford Economics said.Markets are currently pricing in a 64% probability that the Fed will keep its benchmark rate steady in September, with the remaining odds in favor of a 25-basis-point hike, according to the CME FedWatch tool.Treasury yields were down in premarket action, with the two-year retreating 0.9 basis points to 4.23% and the 10-year rate off 0.3 basis points to 4.71%.Last week, the Treasury Department surprised markets by announcing it will at least double its buybacks for longer-dated Treasuries to $4 billion per operation. Treasury Secretary Scott Bessent reportedly said the planned buybacks could be worth more than $4 billion per issue.Technology bellwether Nvidia is scheduled to release its latest quarterly earnings on Wednesday. In a Monday client note, Wedbush Securities said it expects the company to "exceed its guidance" and issue third-quarter revenue guidance above market estimates, based on a strong hyperscale spending backdrop and a robust supply position.Marvell Technology (MRVL), CrowdStrike (CRWD), Salesforce (CRM) and Intuit (INTU) are also slated to post their results later this week.West Texas Intermediate crude oil dropped 2.4% to $85.02 a barrel before the open, while Brent fell 1.8% to $92.73.In an opinion piece for the Financial Times over the weekend, Bessent said the US would launch "the single greatest financial offensive ever" against Iran on Monday."Now we are entering the endgame," Bessent wrote. "At dawn begins an economic D-Day."Last week, President Donald Trump threatened to launch "economic warfare" against Iran and impose financial consequences for countries that seek to provide any form of support to Tehran.Iranian officials reportedly responded by warning Gulf neighbors not to join the US economic measures against the country, according to CNBC. Iran's state-controlled Persian Gulf Strait Authority warned on X that vessels breaching its protocols in the Strait of Hormuz could face restrictions on future passages, including fines, detention or confiscation.The US on Saturday imposed 50% tariffs on certain Canadian goods after the two countries failed to reach a trade agreement, as both sides blamed each other for the breakdown in negotiations, Reuters reported. Canadian Prime Minister Mark Carney said in a statement that Canada will match the US tariffs "dollar for dollar."Monday's thin economic calendar has the Chicago Fed national activity index for July at 8:30 am ET.Temu parent PDD (PDD) inched up 3% before the bell despite missing second-quarter revenue estimates.Chinese electric vehicle manufacturer Xpeng (XPEV) was down 6% in premarket trading after reporting its latest results.Gold inclined 0.5% to $4,701 per troy ounce, while bitcoin gained 0.8% to $77,971.

Dow JonesNasdaq CompositeS&P 500$CRM$CRWD$INTU$MRVL$NVDA$PDD$XPEV
Asia Markets

Asian Equities Traded in the US as American Depositary Receipts Fall in Friday Trading

Asian equities traded in the US as American depositary receipts were falling on Friday morning, down 1.8% to 2,865.59 on the S&P Asia 50 ADR Index.From North Asia, the gainers were led by tech company Youdao (DAO) and used car retailer Uxin (UXIN), which advanced 4.5% and 3.4% respectively. They were followed by pharmaceutical company Takeda (TAK), which climbed 2.9%.The decliners from North Asia were led by semiconductor company United Microelectronics (UMC) and electric vehicle maker Xpeng (XPEV), which fell 5.5% and 5.1% respectively.They were followed by Mizuho Financial (MFG) and semiconductor company ASE Technology (ASX), which dropped 4.1% and 3% respectively.From South Asia, the gainers were led by telecoms Telkom Indonesia (TLK) and PLDT (PHI), which rose 2.9% and 1.6% respectively.The decliners from South Asia were led by tech conglomerate Sea (SE), which fell 4%, followed by technology company Sify Technologies (SIFY), which was down 2.2%.

$ASX$DAO$MFG$PHI$SE$SIFY$TAK$TLK$UMC$UXIN$XPEV
Commodities

Exchange-Traded Funds, Equity Futures Lower Pre-Bell Friday as Investors Retreat From Chipmaker Stocks

The broad market exchange-traded fund SPDR S&P 500 ETF Trust (SPY) was down 0.7%, and the actively traded Invesco QQQ Trust (QQQ) fell 1.8% in Friday's premarket activity, as investors continued to pull back from chipmakers.US stock futures were also lower, with S&P 500 Index futures down 0.8%, Dow Jones Industrial Average futures slipping 0.5%, and Nasdaq futures declining 1.6% before the start of regular trading.June housing starts jumped by 19% from the previous month to a 1.427 million annual rate, above expectations compiled by Bloomberg as of 7:30 am ET for a 1.310 million rate after a decrease to a 1.199 million pace in May.US import prices rose by 0.3% in June, compared to the 0.7% decrease expected in a survey compiled by Bloomberg and following a 1.7% increase in May.Industrial production data for June will be released at 9:15 am ET, followed by the preliminary University of Michigan consumer sentiment reading for July at 10:00 am ET.In premarket action, bitcoin was down by 1.5%. Among cryptocurrency ETFs, the cryptocurrency fund ProShares Bitcoin Strategy ETF (BITO) was 1.7% lower, Ether ETF (EETH) retreated 2%, and Bitcoin & Ether Market Cap Weight ETF (BETH) gained 1.3%.Power Play:ConsumerThe State Street Consumer Staples Select Sector SPDR ETF (XLP) was down 0.6%, the Vanguard Consumer Staples Index Fund ETF Shares (VDC) was up 0.7%, and the iShares US Consumer Staples ETF (IYK) advanced 0.9%. The State Street Consumer Discretionary Select Sector SPDR ETF (XLY) lost 0.7%. The VanEck Retail ETF (RTH) gained 1%, while the State Street SPDR S&P Retail ETF (XRT) was 0.5% lower.XPeng (XPEV) shares were down more than 5% pre-bell after closing the prior session with a 1% rise. The Wall Street Journal reported Thursday that the company is launching its L03 SUV in Munich, marking its first global vehicle launch outside China as it expands in Europe and other overseas markets.Winners and Losers:TechnologyThe State Street Technology Select Sector SPDR ETF (XLK) retreated 2.2%, and the iShares US Technology ETF (IYW) was 2.1% lower, while the iShares Expanded Tech Sector ETF (IGM) was down 2.1%. Among semiconductor ETFs, the State Street SPDR S&P Semiconductor ETF (XSD) declined 3.4%, while the iShares Semiconductor ETF (SOXX) fell by 3.9%.Cadence Design Systems (CDNS) shares were down more than 5% in premarket activity following a 1.8% fall at the prior close. The company said it will work with logic semiconductor manufacturer Rapidus to advance "agentic AI" for advanced-node system-on-chip design under a new collaboration.IndustrialThe State Street Industrial Select Sector SPDR ETF (XLI) retreated 0.6%, while the Vanguard Industrials Index Fund (VIS) and the iShares US Industrials ETF (IYJ) were flat.SpaceX's (SPCX) stock was down more than 4% before the opening bell after CEO Elon Musk said in a Thursday post on X that the company's Starship rocket triggered an "automatic launch abort," with the next launch to be rescheduled possibly "in a few days".Health CareThe State Street Health Care Select Sector SPDR ETF (XLV) advanced 0.4%, the Vanguard Health Care Index Fund (VHT) was up 0.1%, while the iShares US Healthcare ETF (IYH) slipped 0.5%. The iShares Biotechnology ETF (IBB) was down 0.4%.GSK (GSK) stock was down more than 2% premarket after the company said it would discontinue development of camlipixant for refractory chronic cough after the drug produced mixed results in the phase 3 CALM-1 and CALM-2 trials.EnergyThe iShares US Energy ETF (IYE) was up 0.6%, while the State Street Energy Select Sector SPDR ETF (XLE) was 1.5% higher.BP (BP) stock was up more than 1%, and ConocoPhillips (COP) was 2% higher before market open. CNBC reported Friday that the companies plan to reveal billions of dollars in new investments in Iraq to help build its energy sector and increase resilience against Iranian disruptions.FinancialThe State Street Financial Select Sector SPDR ETF (XLF) advanced 0.1%. Direxion Daily Financial Bull 3X Shares (FAS) was up 0.2%, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), was 0.1% lower.Truist Financial (TFC) shares traded down 1% in early hours activity, even after the company reported higher Q2 earnings and revenue.CommoditiesFront-month US West Texas Intermediate crude oil advanced by 2.7% to $81.04 per barrel on the New York Mercantile Exchange. Natural gas was up by 0.5% to $2.87 per 1 million British Thermal Units. The United States Oil Fund (USO) was up 2.4%, while the United States Natural Gas Fund (UNG) was 1% lower.Gold futures for July retreated 0.1% to $3,988.00 an ounce on the Comex. Silver futures were down 1.1% to $55.59 an ounce. SPDR Gold Shares (GLD) decreased 0.2%, and the iShares Silver Trust (SLV) was 0.9% lower.

Dow JonesNasdaq CompositeS&P 500$BETH$BITO$BP$CDNS$COP$EEM$EETH$EXI$FAS$FAZ$GLD$GSK$IBB$IGM$IGV$IPK$IVV$IWM$IYE$IYH$IYJ$IYK$IYW$PMR$QQQ$RTH$SLV$SOXX$SPCX$SPY$TFC$UNG$USO$VDC$VHT$VIS$XLE$XLF$XLI$XLK$XLP$XLV$XLY$XPEV$XRT$XSD
Sectors

Sector Update: Consumer Stocks Rise in Afternoon Trading

Consumer stocks were higher Thursday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) gaining 2.4% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) adding 0.4%.In corporate news, Uber (UBER) said Thursday it has signed a merger agreement with Delivery Hero in a deal with an equity value of $14.8 billion, or $13.7 billion adjusted for Uber's prior stake purchases. Uber shares were up 1.2%.United Airlines (UAL) raised the low end of its full-year earnings outlook and reported upbeat Q2 results, but the air carrier warned that rising oil prices are expected to add nearly $6 billion to its fuel costs this year. Its shares fell 2%.Honda (HMC) plans to begin production of its UC3 electric motorcycle in Vietnam as early as September, shifting manufacturing from Thailand as it looks to capitalize on growing demand for electric two-wheelers in the country, Nikkei reported Thursday. Honda shares rose 3.1%.XPeng (XPEV) shares climbed 3.1% in Thursday afternoon activity, a day after The Wall Street Journal, citing unnamed sources, reported that the Chinese EV maker plans to launch its IRON humanoid robot globally next year, with monthly production capacity expected to exceed 1,000 units by the end of this year.

$HMC$UAL$UBER$XPEV
Commodities

Exchange-Traded Funds, Equity Futures Mixed Pre-Bell Friday Amid Renewed US-Iran Tensions Ahead of Q2 Earnings Season

The broad market exchange-traded fund SPDR S&P 500 ETF Trust (SPY) was up 0.03%, and the actively traded Invesco QQQ Trust (QQQ) retreated by 0.4% in Friday's premarket activity, as markets traded mixed amid renewed US-Iran tensions ahead of the Q2 earnings season.US stock futures were also mixed, with S&P 500 Index futures down 0.1%, Dow Jones Industrial Average futures gaining 0.1%, and Nasdaq futures retreating 0.5% before the start of regular trading.In premarket action, bitcoin was up by 1.9%. Among cryptocurrency ETFs, the cryptocurrency fund ProShares Bitcoin Strategy ETF (BITO) was 2.1% higher, Ether ETF (EETH) advanced 3.4%, and Bitcoin & Ether Market Cap Weight ETF (BETH) gained 1.9%.Power Play:FinancialThe State Street Financial Select Sector SPDR ETF (XLF) advanced 0.6%. Direxion Daily Financial Bull 3X Shares (FAS) was up 1.4%, while its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), was 1.3% lower.Circle Internet Group (CRCL) shares traded up 13% in early hours activity after the company said it received approval from the Office of the Comptroller of the Currency to establish First National Digital Currency Bank, which will operate under the name Circle National Trust.Winners and Losers:IndustrialThe State Street Industrial Select Sector SPDR ETF (XLI) advanced 0.3%, the Vanguard Industrials Index Fund (VIS) was flat, and the iShares US Industrials ETF (IYJ) was inactive.EquipmentShare.com (EQPT) stock was up more than 10% before the opening bell after the company said late Thursday it now expects revenue to be in a range of $5.25 billion to $5.68 billion for 2026, up from its previous guidance of $5.15 billion to $5.58 billion.Health CareThe State Street Health Care Select Sector SPDR ETF (XLV) advanced 0.4%, the Vanguard Health Care Index Fund (VHT) was up 0.6%, while the iShares US Healthcare ETF (IYH) slipped 1.3%. The iShares Biotechnology ETF (IBB) was 0.1% higher.Mesoblast (MESO) stock was up more than 4% premarket after the company reported late Thursday that sales of its steroid-refractory acute graft-versus-host disease treatment, Ryoncil, totaled $36 million in fiscal Q4.TechnologyThe State Street Technology Select Sector SPDR ETF (XLK) retreated 0.6%, and the iShares US Technology ETF (IYW) was 0.02% lower, while the iShares Expanded Tech Sector ETF (IGM) was flat. Among semiconductor ETFs, the State Street SPDR S&P Semiconductor ETF (XSD) fell 1.8%, while the iShares Semiconductor ETF (SOXX) was down 1.6%.ChipMOS Technologies (IMOS) shares were up more than 3% in premarket activity after the company said that its Q2 revenue rose 28.7% year over year to 7.38 billion New Taiwan dollars ($231.8 million), marking its highest quarterly revenue since 2014.ConsumerThe State Street Consumer Staples Select Sector SPDR ETF (XLP) was up 0.1%, the Vanguard Consumer Staples Index Fund ETF Shares (VDC) was flat, and the iShares US Consumer Staples ETF (IYK) was down 0.5%. The State Street Consumer Discretionary Select Sector SPDR ETF (XLY) advanced 0.1%. The VanEck Retail ETF (RTH) was inactive, while the State Street SPDR S&P Retail ETF (XRT) was 0.3% higher.XPeng (XPEV) shares were up 1% pre-bell after the company said it has started employee testing of its Robotaxi platform.EnergyThe iShares US Energy ETF (IYE) was flat, while the State Street Energy Select Sector SPDR ETF (XLE) was up by 0.5%.BW LPG (BWLP) stock was up more than 1% before market open after the company said its BW LPG India subsidiary has agreed to sell BW Elm vessel to an unnamed buyer for cash proceeds of $64 million.CommoditiesFront-month US West Texas Intermediate crude oil advanced by 0.4% to $72.33 per barrel on the New York Mercantile Exchange. Natural gas was down by 1.4% to $2.97 per 1 million British Thermal Units. The United States Oil Fund (USO) retreated by 0.4%, while the United States Natural Gas Fund (UNG) was 1.6% lower.Gold futures for July fell 0.8% to $4,107.70 an ounce on the Comex. Silver futures retreated by 1.3% to $59.95 an ounce. SPDR Gold Shares (GLD) decreased 0.5%, and the iShares Silver Trust (SLV) was 0.5% lower.

Dow JonesNasdaq CompositeS&P 500$BETH$BITO$BWLP$CRCL$EEM$EETH$EQPT$EXI$FAS$FAZ$GLD$IBB$IGM$IGV$IMOS$IPK$IVV$IWM$IYE$IYH$IYJ$IYK$IYW$MESO$PMR$QQQ$RTH$SLV$SOXX$SPY$UNG$USO$VDC$VHT$VIS$XLE$XLF$XLI$XLK$XLP$XLV$XLY$XPEV$XRT$XSD
Wire

Market Chatter: XPeng CEO to Lead Robotics Unit With Humanoid Mass Production by Year-End

XPeng (XPEV) CEO He Xiaopeng said he will personally lead the company's robotics business as the Chinese electric vehicle maker pushes toward mass production by the end of 2026, Reuters reported Wednesday, citing an internal letter.He Xiaopeng said the decision to take on the role of CEO of the robotics unit, effective immediately, comes "on the eve of mass production and commercialisation" of XPeng's humanlike IRON robots, which debuted last year.XPeng has set a goal of starting mass production of IRON robots by the end of 2026, the report added.XPeng did not immediately respond to a request for a comment from.(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)Price: $15.14, Change: $-0.35, Percent Change: -2.23%

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Research

Research Alert: CFRA Keeps Hold Opinion On Adss Of Xpeng Inc.

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We keep our target price at USD20, implying a 2026 P/S of 1.3x, below its three-year average of 1.6x. The discount in valuation is justified by potential margin pressure from AI investments in 2026, and a second-tier market position, with limited upside until the company demonstrates sustained quarterly profitability and concrete AI monetization. We project revenue growth moderating to 24%/17% for 2026/2027, largely due to increased vehicle deliveries and new model launches, but declining ASPs from intensifying competition (BYD, Geely), product mix dilution, and lower subsidies will lead to slower growth. Elevated R&D spending on next-generation autonomous driving an d robotics platforms, upfront costs for global sales and infrastructure expansion, and persistent input cost inflation will likely further dampen margins through 2026 despite improved scale efficiency. We trim our estimate to a loss per ADS (LPADS) of CNY3.02 (from EPADS of CNY0.66) for 2026 and 2027's EPADS to CNY0.48 (from CNY2.00).

$XPEV
Wire

XPeng Shares Rise After Macquarie Upgrade

XPeng (XPEV) shares were up nearly 1% in Friday trading after Macquarie upgraded the stock to outperform from neutral.Trading volume stood at over 5.1 million shares, compared with a daily average of roughly 7 million.Price: $16.56, Change: $+0.11, Percent Change: +0.70%

$XPEV
Research

Macquarie Upgrades XPeng to Outperform From Neutral

XPeng (XPEV) has an average rating of overweight and mean price target of $23.09, according to analysts polled by FactSet.

$XPEV
Research

Research Alert: Xpeng Returns To Loss In Q1 2026, But Gross Margin Stays Resilient

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:XPeng reported a weaker-than-expected Q1 2026 results, with deliveries declining 33.3% Y/Y to 62,682 units while profitability turned negative, swinging to CNY1.78B net loss, due to a 46.8% surge in R&D expenses (CNY2.91B) for AI investments. Revenue fell 17.6% Y/Y to CNY13.03B due to weaker vehicle demand. However, gross margin remained resilient at 20.6% and vehicle margin improved 1.6%-pts Y/Y to 12.1%, due to cost reduction and better product mix. Monthly overseas deliveries surpassed 6,000 units in April, while VLA 2.0 penetration reached 50% with regulatory approval expected in Europe in 2027. Management guided Q2 deliveries of 100K-106K units and revenue of CNY19.6B-CNY20.8B. XPeng expects four new global SUV models to launch in 2H 2026, aiming to more than double 2026 overseas sales. With elevated R&D spending, we remain cautious on the near-term margin outlook. AI and humanoid robot commercialization (expected to materialize in 2027) could support long-term valuation re-rating potential, in our view.

$XPEV
Stocks Fall Pre-Bell Amid Renewed US-Iran Tensions; Key Inflation, Economic Data on Deck
US Markets

Stocks Fall Pre-Bell Amid Renewed US-Iran Tensions; Key Inflation, Economic Data on Deck

The main US stock measures were trending lower in Thursday's premarket activity amid renewed tensions in the Middle East, while traders await key inflation and economic data.The S&P 500 and the Dow Jones Industrial Average edged down 0.1% each before the opening bell, while the Nasdaq was off 0.2%. The indexes finished Wednesday's trading session with fresh highs.Iran's Islamic Revolutionary Guard Corps said Thursday it targeted a US airbase, CNBC reported, citing Tehran's semi-official Tasnim news agency.The reported attack came after a US official told MS Now on Wednesday that US forces carried out strikes against a military site believed to threaten its troops and commercial shipping through the Strait of Hormuz.West Texas Intermediate crude oil increased 1.7% to $90.21 a barrel in premarket action, while Brent rose 1.6% to $95.81.President Donald Trump on Wednesday said that no single country will control the crucial Strait of Hormuz, according to Bloomberg News. "Nobody's going to control it, it's international waters," Trump reportedly said at the White House. "The strait's going to be open to everybody," and the US will "watch over it," he added.Earlier on Wednesday, Trump expressed confidence that the US would be able to reach a deal to end the conflict, but he is not yet satisfied with the terms, CNN reported. Iranian state TV previously claimed that a draft memorandum on ending the conflict calls for the US to withdraw its military forces and lift the naval blockade in return for reopening the Strait of Hormuz within a month. However, the White House dismissed it as a "complete fabrication," according to CNN.The personal income and outlays report for April is due to be released at 8:30 am ET. The report includes the personal consumption expenditure core price index, the Federal Reserve's preferred inflation metric.Treasury yields were moving higher before the open, with the two-year rate gaining 2.7 basis points to 4.06% and the 10-year rate adding 1.2 basis points to 4.49%.Thursday's economic calendar also has the second estimate report of the first-quarter gross domestic product at 8:30 am, along with the weekly jobless claims bulletin and the durable goods orders report for last month. The new home sales report for April is out at 10 am, followed by the EIA domestic petroleum inventories report at 12 pm.New York Fed President John Williams is slated to speak at 8:55 am, while St. Louis Fed President Alberto Musalem speaks at 10:15 am. Richmond Fed President Thomas Barkin's remarks are due at 3 pm.Shares of Snowflake (SNOW) jumped 38% pre-bell after the cloud-based data platform lifted its full-year product revenue outlook and agreed to a $6 billion infrastructure spending deal with Amazon's (AMZN) cloud platform. Salesforce (CRM) declined nearly 2% as the company issued a soft fiscal second-quarter outlook.Marvell Technology (MRVL) and Synopsys (SNPS) dropped 3.3% and 2.8%, respectively, following their latest quarterly results.Burlington Stores (BURL), Dollar Tree (DLTR), Li Auto (LI), XPeng (XPEV), Best Buy (BBY) and Hormel Foods (HRL) are expected to release their earnings before the bell, among others. Costco Wholesale (COST), Dell Technologies (DELL) and MongoDB (MDB) are scheduled to announce their results after the markets close.Gold fell 1.1% to $4,400 per troy ounce, while bitcoin slipped 2.2% to $73,258.

Dow JonesNasdaq CompositeS&P 500$BBY$BURL$COST$CRM$DELL$DLTR$HRL$LI$MDB$MRVL$SNOW$SNPS$XPEV
Wire

XPeng Shares Fall After BNP Paribas Downgrade

XPeng (XPEV) shares fell 1.1% on Wednesday after BNP Paribas downgraded the stock to underperform from neutral and cut its price target to $15 per share from $19.Trading volume stood at nearly 3.2 million shares compared with a daily average of close to 6.4 million.Price: $17.02, Change: $-0.20, Percent Change: -1.13%

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Research

BNP Paribas Downgrades XPeng to Underperform From Neutral, Adjusts Price Target to $15 From $19

XPeng (XPEV) has an average rating of overweight and mean price target of $22.76, according to analysts polled by FactSet.

$XPEV
Research

Research Alert: CFRA Keeps Hold Opinion On Adss Of Xpeng Inc.

CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:We trim our target price to USD20 from USD22, implying a 2026 P/S of 1.3x, a 57% discount to global EV peers' 3.0x average, reflecting margin pressure from AI investments and its second-tier market position. We lower 2026 EPADS to CNY0.33 from CNY0.86 and introduce 2027 EPADS at CNY1.00. We project revenue growth moderating to 20.5%-21% p.a. for 2026 and 2027, largely due to increased vehicle deliveries and new model launches, but declining average selling prices from intensifying competition (BYD, Geely), product mix dilution, and lower subsidies will pressure growth. Improved operating leverage and scale efficiency should support our projected modest margin improvement, but rising cost inflation and elevated R&D investment in AI will limit margin expansion potential. While Q4 2025 achieved record 21.3% gross margin and first quarterly profit, we remain cautious on sustaining profitability through 2026 given fragile margins amid an investment upcycle and intensifying EV competition in China.

$XPEV

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