Xpeng Stock Plummets 2.86% with $200M Turnover Ranking 454th Despite Strong Q3 Growth Projections

On August 25, 2025, Xpeng (XPEV) closed down 2.86% with a trading volume of $200 million, a 47.77% decline from the previous day’s activity, ranking 454th in market turnover. The stock’s recent performance contrasts with its strong Q3 growth expectations, which previously drove a 20.56% weekly surge last month. Analysts highlighted Xpeng’s projected 94-107.9% year-on-year revenue increase to RMB19.6-21 billion and a 142.8-153.6% vehicle delivery growth. These forecasts followed a 62.5% reduction in Q2 net losses to RMB480 million, driven by a 147% year-on-year sales expansion to RMB16.88 billion.

HSBC upgraded Xpeng to “buy” in late July, setting a $29.6 price target (24.6% upside from its recent closing price). Institutional interest has grown, with Central Asset Investments increasing its stake by 111.9% in Q1. The company’s in-house Turing chip development and AI integration into autonomous driving systems further position it for long-term innovation. However, mixed analyst ratings persist, with target prices ranging from $19 to $28, reflecting cautious optimism about its market potential.

The strategy of buying the top 500 stocks by daily trading volume and holding them for one day from 2022 to now delivered moderate returns. The 1-day return was 0.98%, with a total return of 31.52% over 365 days. This indicates the strategy captured some short-term momentum but was subject to market fluctuations. It performed best in June 2023, with returns of 7.02%, and worst in September 2022, with a return of -4.65%. Overall, the strategy showed volatility but a positive trend, making it suitable for traders looking for short-term opportunities.