XPENG Surges with Record August EV Deliveries, Analysts See 19.06% Upside Potential
ByAinvest
Monday, Sep 1, 2025 1:06 am ET1min read
XPEV--
The impressive performance can be attributed to the launch of the MONA M03 model, an entry-level EV that has become a bestseller, accounting for about 40% of XPENG’s monthly sales [1]. This model, priced at 119,800 yuan (approximately $21,556), competes with mass-market models from BYD and Geely Automobile Holdings but leverages XPENG’s advanced intelligent technologies.
XPENG’s financial performance has also shown improvement. The company reported a narrower net loss in the second quarter and expanded its gross margins to 17.3% [1]. Additionally, the company expects monthly deliveries to consistently exceed 40,000 units starting in September [1].
Beyond its product line, XPENG is securing new revenue streams through strategic partnerships. The company recently announced an expansion of its collaboration with Volkswagen around electronic and electrical architecture for the German automaker’s combustion engine and plug-in hybrid platforms in China [1]. This move is expected to bring in additional software service revenue with considerable margins.
The new P7 sedan, which launched last week, is also set to accelerate XPENG’s product cycle [1]. The P7 is equipped with three in-house developed Turing AI chips, providing a combined peak computing power of 2,250 TOPS, which is 3 times more powerful than the Tesla Model Y’s AI 4 SoC [3]. This advanced technology allows the P7 to autonomously drive from the production line to the shipping area.
Analysts have forecasted an average target price of $25.03 for XPENG, with a potential upside of 19.06% [2]. GF Value estimates suggest a 59.32% increase to $33.49 in one year [2].
References:
[1] https://www.businesstimes.com.sg/companies-markets/transport-logistics/xpeng-smaller-ev-makers-kick-sales-goals-china-byd-stalls
[2] https://stocktwits.com/news-articles/markets/equity/xpeng-stock-turns-5-on-wall-street-who-s-winning-the-ev-race-with-tesla-nio-and-li-auto/chsxwSBRdk8
[3] https://carnewschina.com/2025/08/26/new-xpeng-p7-autonomously-drives-from-production-line-to-shipping-area-in-china/
XPENG reported a 169% increase in smart EV deliveries in August, with 37,709 vehicles delivered, up 252% YoY. Analysts forecast an average target price of $25.03, a 19.06% potential upside. GF Value estimates suggest a 59.32% increase to $33.49 in one year.
XPENG, a leading electric vehicle (EV) manufacturer, has reported a significant surge in smart EV deliveries for the month of August. The company delivered 37,709 units, marking a 169% increase compared to the previous month and a 252% year-over-year (YoY) growth [1].The impressive performance can be attributed to the launch of the MONA M03 model, an entry-level EV that has become a bestseller, accounting for about 40% of XPENG’s monthly sales [1]. This model, priced at 119,800 yuan (approximately $21,556), competes with mass-market models from BYD and Geely Automobile Holdings but leverages XPENG’s advanced intelligent technologies.
XPENG’s financial performance has also shown improvement. The company reported a narrower net loss in the second quarter and expanded its gross margins to 17.3% [1]. Additionally, the company expects monthly deliveries to consistently exceed 40,000 units starting in September [1].
Beyond its product line, XPENG is securing new revenue streams through strategic partnerships. The company recently announced an expansion of its collaboration with Volkswagen around electronic and electrical architecture for the German automaker’s combustion engine and plug-in hybrid platforms in China [1]. This move is expected to bring in additional software service revenue with considerable margins.
The new P7 sedan, which launched last week, is also set to accelerate XPENG’s product cycle [1]. The P7 is equipped with three in-house developed Turing AI chips, providing a combined peak computing power of 2,250 TOPS, which is 3 times more powerful than the Tesla Model Y’s AI 4 SoC [3]. This advanced technology allows the P7 to autonomously drive from the production line to the shipping area.
Analysts have forecasted an average target price of $25.03 for XPENG, with a potential upside of 19.06% [2]. GF Value estimates suggest a 59.32% increase to $33.49 in one year [2].
References:
[1] https://www.businesstimes.com.sg/companies-markets/transport-logistics/xpeng-smaller-ev-makers-kick-sales-goals-china-byd-stalls
[2] https://stocktwits.com/news-articles/markets/equity/xpeng-stock-turns-5-on-wall-street-who-s-winning-the-ev-race-with-tesla-nio-and-li-auto/chsxwSBRdk8
[3] https://carnewschina.com/2025/08/26/new-xpeng-p7-autonomously-drives-from-production-line-to-shipping-area-in-china/
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