Xpeng Stock Surges 4.22% on Strong Q2 Results, Trading Volume Jumps 85.66% to Rank 226th in Market Activity

Xpeng (XPEV) surged 4.22% on Aug. 19 with a trading volume of $410 million, up 85.66% from the prior day, ranking 226th in market activity. The stock’s performance followed the automaker’s Q2 2025 results, which highlighted record revenue and narrowed losses.

The company reported Q2 revenue of RMB18.27 billion ($2.55 billion), a 125.3% year-over-year increase, driven by 103,181 vehicle deliveries—a 241.6% rise compared to the same period in 2024. Gross margin hit a record 17.3%, up from 14.0% in Q2 2024, while vehicle margin reached 14.3%. Net loss narrowed to RMB480 million, the lowest since Q3 2020, reflecting improved cost controls and product mix optimization.

Xpeng’s cash reserves rose to RMB47.57 billion ($6.64 billion) as of June 30, 2025, supported by strong sales and a 677-outlet sales network. R&D expenses increased 50.4% year-on-year to RMB2.21 billion, reflecting ongoing investments in new models and technology. However, service revenue dipped 3.5% quarter-on-quarter to RMB1.39 billion due to fluctuations in tech R&D income.

The automaker expanded its partnership with Volkswagen to integrate jointly developed technology into gasoline and plug-in hybrid platforms in China. Xpeng also guided Q3 deliveries to 113,000–118,000 units, implying a 142.8%–153.6% year-over-year increase, and projected Q3 revenue of RMB19.6–21.0 billion.

The strategy of buying the top 500 stocks by daily trading volume and holding them for one day generated a total profit of $2,940 from December 2022 to August 2025, with a maximum drawdown of -$1,960 during the period. This indicates a volatile but ultimately positive performance, with the highest peak-to-trough decline being 19.6%.