XPeng (#XPeng) weekly uptrend opportunity based On 1.00 Lot Calculation:
GLOBAL EV MARKETS:
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ELECTRIC VEHICLES (EV) MAKE ONLY AROUND 9.0% OF TOTAL CAR SALES, WORTH 66.7 MILLION CARS IN 2021: The total global car market grew just 4.5% in 2021, by around 66.7 million cars. In 2020, the world sold around 63.8 million cars. The estimates say that around 6.5 million electric vehicles (EVs) were sold worldwide in 2021, up 109% from 2020. EV sales represent around 9% of all passenger car sales in 2021. The EV sector increased its market share from 4.11% in 2021 to around 9.00% off the global car sales.
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MARKET POTENTIAL: ELECTRIC VEHICLES (EV) ARE EXPECTED TO TAKE UP AROUND 50% OF GLOBAL CAR SALES BY 2030. The 2021 figures of 287.36 billion dollars are an increase of around 76% from 2020’s 160.01 billion dollars. Expecting this number to grow to 823.75 billion dollars, the EV market should be growing annually on average by 18.6%.
CHINA EV MARKETS:
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CHINA LEADS THE WAY (2021): EV MAKES AROUND 13% OF THE CAR MARKET IN CHINA, UP FROM 3.5% IN 2020: More than half of the total electric vehicles (EVs) sold worldwide last year (including plug-in hybrids) went to buyers in China. China led global EV growth in 2021 as sales nearly tripled to 3.4 million (from 0.9 million in 2020). Total number of cars sold in 2021 in China was 26.28 million, and EV made around 13% of the market. Tesla is the largest EV in China, holding some 14% of the markets, followed by GM’s Wulling (~11.8%), BYD (~10%) and XPeng with 2.9%.
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CHINA’S EV MARKETS EXPECTED TO GROW BY 61.76% in 2022 TO 5.5 MILLION VEHICLES. Globally, the EV markets are expected to grow from 6.5 million to 9.75 million units in 2022, which is an increase of around 50%. In China, the estimates say that around 25 million cars in total will be sold. The EV would make up around 20% of the total car markets.
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ELECTRIC VEHICLES IN CHINA ARE EXPECTED TO TAKE UP 40% OF CHINA’S CAR SALES BY 2030. Total car sales are expected to to grow to 38 million in 2030, while around 15 million (or 40%) to be Electric Vehicles.
XPeng:
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THE COMPANY: XPeng is a Chinese company that designs, produces and distributes electric vehicles. The company also provides finance, parts and maintenance services. It is expanding sales into the Netherlands and Sweden.
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XPeng’s MARKET SHARE: XPeng produced 2.9% of Chinese made electric vehicles in 2021. It delivered 98,155 vehicles.
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XPeng SALES GROWTH: The company is expected to sell over 539,000 vehicles in 2025, a 449% increase over its sales in 2021.
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XPeng REVENUE GROWTH: XPeng had almost $21 billion of revenue in 2021. Bloomberg forecasts its revenue will be over $132 billion in 2025.
EVENTS AND ANALYSIS:
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EVENT: XPeng will report its 1st quarter earnings on May 23rd (PREMARKET). XPeng has beat quarterly earnings forecasts 6 of the last 6 quarters. It is expected to report $7.324 billion in revenue in the 1st quarter.
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BREAKING ON DELISTING RISK: CHINA CONTINUES NEGOTIATIONS WITH U.S. REGULATORS ABOUT ALLOWING AUDIT INSPECTIONS OF CHINESE COMPANIES LISTED IN NEW YORK. American regulators recently traveled to China and it was reported that the discussions were very positive. Chinese companies are expected to come into compliance with American auditing standards before any possible delisting from American exchanges in 2 years.
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ANALYST OPINION: According to Bloomberg, the consensus target price is $48.59. On May 17th, Bernstein reiterated its Outperform rating on XPeng with a price target of $55. Credit Suisse just rated XPeng with a price target of $50.
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STOCK PRICE ACTION: XPeng reached a record high of $74.19 in November 2020. A full recovery to that price could be over 270% above its current level.
(#XPeng) May 18th, 2022
Current Price: 24.00
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XPeng |
Weekly |
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Trend direction |
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|
36.00 |
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|
32.00 |
|
|
28.00 |
|
|
21.00 |
|
|
18.00 |
|
|
15.00 |
Example of calculation based on weekly trend direction for 1.00 Lot1
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XPeng |
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Pivot Points |
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Profit or loss in $ |
60,000.00 |
40,000.00 |
20,000.00 |
-15,000.00 |
-30,000.00 |
-45,000.00 |
|
Profit or loss in €2 |
57,116.20 |
38,077.47 |
19,038.73 |
-14,279.05 |
-28,558.10 |
-42,837.15 |
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Profit or loss in £2 |
48,462.13 |
32,308.09 |
16,154.04 |
-12,115.53 |
-24,231.07 |
-36,346.60 |
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Profit or loss in C$2 |
77,065.20 |
51,376.80 |
25,688.40 |
-19,266.30 |
-38,532.60 |
-57,798.90 |
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1.00 lot is equivalent of 5000 units
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Calculations for exchange rate used as of 09:45 (GMT+1) 18/05/2022
Fortrade recommends the use of Stop-Loss and Take-Profit, please speak to your Client Manager regarding their use.
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You may wish to consider closing your position in profit, even if it is lower than suggested one.
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Trailing stop technique can protect the profit – Ask your Client Manager for more detail.